HomeMy WebLinkAboutContract 46516 CITY SECRETARY I
CONTRACT NO.
TAX ABATEMENT AGREEMENT FOR PROPERTY LOCATED IN A NEIGHBORHOOD
EMPOWERMENT ZONE
3301 E. Belknap Street
This TAX ABATEMENT AGREEMENT ("Agreement") is entered into by and between
the CITY OF FORT WORTH, TEXAS (the "City"), a home rule municipal corporation organized
under the laws of the State of Texas and acting by and through David Cooke, its duly authorized City
Manager, and Gabriela Orduno, ("Owner") of property located at 3301 E. Belknap Street, Lot 1R,
J.M. Anderson Addition, an Addition to the City of Fort Worth, Tarrant County, Texas, according to
the Plat recorded in Volumes 388-212, Page 23, Plat Records, Tarrant County, Texas.
The City Council of the City of Fort Worth ("City Council") hereby finds and the City and
Owner hereby agree that the following statements are true and correct and constitute the basis upon
which the City and Owner have entered into this Agreement:
A. Chapter 378 of the Texas Local Government Code allows a municipality to create a
neighborhood empowerment zone if the municipality determines that the creation of the zone would
promote:
(1) the creation of affordable housing, including manufactured housing in the zone;
(2) an increase in economic development in the zone;
(3) an increase in the quality of social services, education, or public safety provided to
residents of the zone; or
(4) the rehabilitation of affordable housing in the zone.
B. Chapter 378 of the Texas Local Government Code provides that a municipality that
creates a neighborhood empowerment zone may enter into agreements abating municipal property
taxes on property in the zone.
C. On July 31, 2001, the City Council adopted basic incentives for property owners who
own property located in a Neighborhood Empowerment Zone, stating that the City elects to be
eligible to participate in tax abatement and including guidelines and criteria governing tax abatement
agreements entered into between the City and various third parties, titled "Neighborhood
Empowerment Zone "NEZ Basic Incentives" ("NEZ Incentives"), these were readopted on May 6,
2014 (Resolution No. 4319).
D. The NEZ Incentives contains appropriate guidelines and criteria governing tax
M abatement agreements to be entered into by the City as contemplated by Chapter 312 of the Texas Tax
M Code, as amended (the "Code").
M E. On April 5, 2011, the City Council adopted Ordinance No. 19641 ("Ordinance")
establishing "Neighborhood Empowerment Reinvestment Zone No. 38," City of Fort Worth, Texas
("Zone") and adopted Resolution No. 3981 establishing "Designation of Six Points Area as a
Neighborhood Empowerment Zone" ("NEZ").
0
F. Owner owns certain real property located entirely within the Zone and that is more
particularly described in Exhibit"I", attached hereto and hereby made a part of this Agreement or all
purposes (the "Premises").
OFFICIAL RECORD
Page 1 of 12 CITY SECRETARY
NEZ Tax Abatement with Gabriela Orduno, 3301 E. Belknap FT. WORTH, TX
Approved by M&C C-26936, August 26, 2014
G. Owner or its assigns plan to construct a Bakery, more particularly described in Section
1.1 of this Agreement, on the Premises (the "Project").
H. On July 10, 2014, Owner submitted an application for tax abatement to the City
concerning the Premises (the "Application"), attached hereto as Exhibit "2" and hereby made a part
of this Agreement for all purposes.
I. The contemplated use of the Premises, the Required Improvements, as defined in
Section 1.1, and the terms of this Agreement are consistent with encouraging development of the
Zone in accordance with the purposes for its creation and are in compliance with the NEZ Incentives,
the Ordinance and other applicable laws, ordinances, rules and regulations.
J. The terms of this Agreement, and the Premises and Required Improvements, satisfy
the eligibility criteria of the NEZ Incentives.
K. Written notice that the City intends to enter into this Agreement, along with a copy of
this Agreement, has been furnished in the manner prescribed by the Code to the presiding officers of
the governing bodies of each of the taxing units in which the Premises is located.
NOW, THEREFORE, the City and Owner, for and in consideration of the terms and
conditions set forth herein, do hereby contract, covenant and agree as follows:
1. OWNER'S COVENANTS.
1.1. Real Property Improvements.
Owner shall construct, or cause to be constructed, on and within the Premises certain
improvements consisting of a Bakery of at least 6,300 square feet in size, and having a
construction cost upon completion of$860,800.00 including site development costs but such
minimum construction costs shall be reduced by any construction cost saving (collectively, the
"Required Improvements"). The type, preliminary site plan, and conceptual elevation of the
Required Improvements are described in Exhibit "3". Tarrant Appraisal District must appraise
the property (improvements and land) within 10% of$860,800.00. Owner shall provide a copy
of the final construction invoices, and final site plan to City once it is approved by the
Department of Development and the parties agree that such final site plan; construction
invoices shall be a part of this Agreement and shall be labeled Exhibit "4". The final site plan
shall be in substantially the same form as the preliminary site plan. Minor variations, and
more substantial variations if approved in writing by both of the parties to this Agreement, in
the Required Improvements from the description provided in the Application for Tax
Abatement shall not constitute an Event of Default, as defined in Section 4.1, provided that the
conditions in the first sentence of this Section 1.1 are met and the Required Improvements are
used for the purposes and in the manner described in Exhibit"3".
Page 2 of 12
NEZ Tax Abatement with Gabriela Orduno, 3301 E. Belknap
Approved by M&C C-26936, August 26, 2014
1.2. Completion Date of Required Improvements.
Owner covenants to substantially complete construction of all of the Required
Improvements within two years from the date of Council approval of the tax abatement. The
abatement will automatically terminate two years after Council approval if a building permit
has not been pulled and a foundation has not been poured, unless delayed because of force
majeure, in which case the two-years shall be extended by the number of days comprising the
specific force majeure. For purposes of this Agreement, force majeure shall mean an event
beyond Owner's reasonable control, including, without limitation, delays caused by adverse
weather, delays in receipt of any required permits or approvals from any governmental
authority, or acts of God, fires, strikes, national disasters, wars, riots and material or labor
restrictions, and shortages as determined by the City of Fort Worth in its sole discretion, which
shall not be unreasonably withheld, but shall not include construction delays caused due to
purely financial matters, such as, without limitation, delays in the obtaining of adequate
financing.
1.3. Use of Premises.
Owner covenants that the Required Improvements shall be constructed and the
Premises shall be continuously used as a bakery and in accordance with the description of
the Project set forth in the Exhibit "3". In addition, Owner covenants that throughout the
Term, the Required Improvements shall be operated and maintained for the purposes set
forth in this Agreement and in a manner that is consistent with the general purposes of
encouraging development or redevelopment of the Zone.
2. ABATEMENT AMOUNTS, TERMS AND CONDITIONS.
Subject to and in accordance with this Agreement, the City hereby grants to Owner real
property tax abatement on the Required Improvements, as specifically provided in this Section 2
("Abatement"). Abatement of real property taxes only includes City of Fort Worth-imposed taxes
and not taxes from other taxing entities.
2.1. Amount of Abatement.
The actual amount of the Abatement granted under this Agreement shall be based
upon the increase in value of the Required Improvements over their values as determined
by TAD on August 26, 2014, after the demolition of the existing improvements and this
amount is $0.00 the year in which this Agreement was entered into:
One Hundred percent (100%) of the increase in value from the
construction of the Required Improvements.
If the square footage requirement and the appraised value of the Required
Improvements are less than as provided in Section 1.1 of this Agreement, except that
such minimum construction costs shall be reduced by construction cost savings, Owner
shall not be eligible to receive any Abatement under this Agreement.
Page 3 of 12
NEZ Tax Abatement with Gabriela Orduno, 3301 E. Belknap
Approved by M&C C-26936, August 26, 2014
2.2. Increase in Value.
The abatement shall apply only to taxes on the increase in value of the Premises due
to construction of the Required Improvements and shall not apply to taxes on the land, nor
shall the abatement apply to mineral interests.
2.3. Abatement Limitation.
Notwithstanding anything that may be interpreted to the contrary in this Agreement,
Owner's Abatement in any given year shall be based on the increase in value of the Required
Improvements over its value on August 26, 2014, up to a maximum of $1,291,200.00. In
other words, by way of example only, if the increase in value of the Required Improvements
over its value on August 26, 2014, in a given year is $1,300,000.00, Owner's Abatement for
that tax year shall be capped and calculated as if the appraised value of the Required
Improvements for that year had only been$1,291,200.00.
2.4. Protests Over Appraisals or Assessments.
Owner shall have the right to protest and contest any or all appraisals or assessments
of the Premises and/or improvements thereon.
2.5. Term.
The term of the Abatement (the "Term") shall begin on January 1 of the year
following the calendar year in which a final certificate of occupancy is issued for the
Required Improvements (`Beginning Date") and, unless sooner terminated as herein
provided, shall end on December 31 immediately preceding the fifth (5th) anniversary of the
Beginning Date.
2.6. Abatement Application Fee.
The City acknowledges receipt from Owner of the required Abatement application fee
of one half of one percent (.5%) of Project's estimated cost, not to exceed $2,000. The
application fee shall not be credited or refunded to any party for any reason.
3. RECORDS, AUDITS AND EVALUATION OF PROJECT.
3.1. Inspection of Premises.
Between the execution date of this Agreement and the last day of the Term and for five
(5) years after termination ("Compliance Auditing Term"), at any time during normal office
hours throughout the Term and the year following the Term and following reasonable notice
to Owner, the City shall have and Owner shall provide access to the Premises in order for the
City to inspect the Premises and evaluate the Required Improvements to ensure compliance
with the terms and conditions of this Agreement. Owner shall cooperate fully with the City
during any such inspection and/or evaluation.
Page 4 of 12
NEZ Tax Abatement with Gabriela Orduno, 3301 E. Belknap
Approved by M&C C-26936, August 26, 2014
3.2. Audits.
The City shall have the right to audit at the City's expense the financial and business
records of Owner that relate to the Project and Abatement terms and conditions
(collectively, the "Records") at any time during the Compliance Auditing Term in order to
determine compliance with this Agreement and to calculate the correct percentage of
Abatement available to Owner. Owner shall make all applicable Records available to the
City on the Premises or at another location in the City following reasonable advance notice
by the City and shall otherwise cooperate fully with the City during any audit.
3.3. Provision of Information.
On or before March 1 following the end of every year during the Compliance
Auditing Term and if requested by the City, Owner shall provide information and
documentation for the previous year that addresses Owner's compliance with each of the
terms and conditions of this Agreement for that calendar year. This information shall
include, but not be limited to, the number and dollar amounts of all construction contracts
and subcontracts awarded on the Project.
Failure to provide all information within the control of Owner required by this Section 3.3
shall constitute an Event of Default, as defined in Section 4.1.
3.4. Determination of Compliance.
On or before August 1 of each year during the Compliance Auditing Term, the City
shall make a decision and rule on the actual annual percentage of Abatement available to
Owner for the following year of the Term and shall notify Owner of such decision and
ruling. The actual percentage of the Abatement granted for a given year of the Term is
therefore based upon Owner's compliance with the terms and conditions of this Agreement
during the previous year of the Compliance Auditing Term.
4. EVENTS OF DEFAULT.
4.1. Defined.
Unless otherwise specified herein, Owner shall be in default of this Agreement if(i)
Owner fails to construct the Required Improvements as defined in Section 1.1.; (ii) ad valorem
real property taxes with respect to the Premises or the Project, or its ad valorem taxes with
respect to the tangible personal property located on the Premises, become delinquent and
Owner does not timely and properly follow the legal procedures for protest and/or contest of
any such ad valorem real property or tangible personal property taxes or (iii) OWNER DOES
NOT COMPLY WITH CHAPTER 7 AND APPENDIX B OF THE CODE OF
ORDINANCE OF THE CITY OF FORT WORTH (collectively, each an "Event of
Default").
Page 5of12
NEZ Tax Abatement with Gabriela Orduno, 3301 E. Belknap
Approved by M&C C-26936, August 26, 2014
4.2. Notice to Cure.
Subject to Section 5, if the City determines that an Event of Default has occurred, the
City shall provide a written notice to Owner that describes the nature of the Event of Default.
Owner shall have sixty (60) calendar days from the date of receipt of this written notice to
fully cure or have cured the Event of Default. If Owner reasonably believes that Owner will
require additional time to cure the Event of Default, Owner shall promptly notify the City in
writing, in which case (i) after advising the City Council in an open meeting of Owner's
efforts and intent to cure, Owner shall have ninety (90) calendar days from the original date of
receipt of the written notice, or (ii) if Owner reasonably believes that Owner will require more
than ninety (90) days to cure the Event of Default, after advising the City Council in an open
meeting of Owner's efforts and intent to cure, such additional time, if any, as may be offered
by the City Council in its sole discretion.
4.3. Termination for Event of Default and Payment of Liquidated Damages.
If an Event of Default, which is defined in Section 4.1, has not been cured within the
time frame specifically allowed under Section 4.2, the City shall have the right to terminate
this Agreement immediately. Owner acknowledges and agrees that an uncured Event of
Default will (i) harm the City's economic development and redevelopment efforts on the
Premises and in the vicinity of the Premises; (ii) require unplanned and expensive additional
administrative oversight and involvement by the City; and (iii) otherwise harm the City, and
Owner agrees that the amounts of actual damages there from are speculative in nature and will
be difficult or impossible to ascertain. Therefore, upon termination of this Agreement for any
Event of Default, Owner shall not be eligible for the Abatement for the remaining Term and
Owner shall pay the City, as liquidated damages, all taxes that were abated in accordance with
this Agreement for each year when an Event of Default existed and which otherwise would
have been paid to the City in the absence of this Agreement. The City and Owner agree that
this amount is a reasonable approximation of actual damages that the City will incur as a result
of an uncured Event of Default and that this Section 4.3 is intended to provide the City with
compensation for actual damages and is not a penalty. This amount may be recovered by the
City through adjustments made to Owner's ad valorem property tax appraisal by the appraisal
district that has jurisdiction over the Premises. Otherwise, this amount shall be due, owing
and paid to the City within sixty (60) days following the effective date of termination of this
Agreement. In the event that all or any portion of this amount is not paid to the City within
sixty (60) days following the effective date of termination of this Agreement, Owner shall also
be liable for all penalties and interest on any outstanding amount at the statutory rate for
delinquent taxes, as determined by the Code at the time of the payment of such penalties and
interest.
4.4. Termination at Will.
If the City and Owner mutually determine that the development or use of the
Premises or the anticipated Required Improvements are no longer appropriate or feasible, or
that a higher or better use is preferable, the City and Owner may terminate this Agreement in
a written format that is signed by both parties. In this event, (i) if the Term has commenced,
the Term shall expire as of the effective date of the termination of this Agreement; (ii) there
shall be no recapture of any taxes previously abated; and (iii) neither party shall have any
further rights or obligations hereunder.
Page 6 of 12
NEZ Tax Abatement with Gabriela Orduno, 3301 E. Belknap
Approved by M&C C-26936, August 26, 2014
4.5. Sexually oriented Business & Liquor Stores or Package Stores.
a. Owner understands and agrees the City has the right to terminate this
agreement if the Project contains or will contain a sexually oriented business.
b. Owner understands and agrees that the City has the right to terminate this
agreement as determined in City's sole discretion if the Project contains or will contain a
liquor store or package store.
5. EFFECT OF SALE OF PREMISES.
Owner may assign this Agreement and all or any portion of the benefits provided hereunder
to an Affiliate without the consent of the City, provided that (i) prior to or contemporaneously with
the effectiveness of such assignment, Owner provides the City with written notice of such
assignment, which notice shall include the name of the Affiliate and a contact name, address and
telephone number, and (ii) the Affiliate agrees in writing to assume all terms and conditions of
Owner under this Agreement. For purposes of this Agreement, an "Affiliate" means all entities,
incorporated or otherwise, under common control with Owner, controlled by Owner or controlling
Owner. For purposes of this definition, "control" means fifty percent (50%) or more of the
ownership determined by either value or vote. Owner may not otherwise assign this Agreement or
any of the benefits provided hereunder to another party without the consent of the City Council,
which consent shall not unreasonably be withheld or delayed, provided that (i) the City Council
finds that the proposed assignee is financially capable of meeting the terms and conditions of this
Agreement and (ii) the proposed assignee agrees in writing to assume all terms and conditions of
Owner under this Agreement. Any attempted assignment without the City Council's prior written
consent shall constitute grounds for termination of this Agreement and the Abatement granted
hereunder following ten (10) calendar days of receipt of written notice from the City to Owner.
6. NOTICES.
All written notices called for or required by this Agreement shall be addressed to the
following, or such other party or address as either party designates in writing, by certified mail,
postage prepaid, or by hand delivery:
City: Owner:
City of Fort Worth Gabriela Orduno
Attn: City Manager 1837 Canyon Ridge St.
1000 Throckmorton Fort Worth, Texas 76131
Fort Worth, TX 76102
And
Housing & Economic Development Department
Attn: Jay Chapa, Director
1000 Throckmorton
Fort Worth, TX 76102
Page 7 of 12
NEZ Tax Abatement with Gabriela Orduno, 3301 E. Belknap
Approved by M&C C-26936, August 26, 2014
7. MISCELLANEOUS.
7.1. Bonus.
The Required Improvements will not be financed by tax increment bonds. This
Agreement is subject to rights of holders of outstanding bonds of the City.
7.2. Conflicts of Interest.
Neither the Premises nor any of the Required Improvements covered by this
Agreement are owned or leased by any member of the City Council, any member of the City
Planning or Zoning Commission or any member of the governing body of any taxing units
in the Zone.
7.3. Conflicts Between Documents.
In the event of any conflict between the City's zoning ordinances, or other City
ordinances or regulations, and this Agreement, such ordinances or regulations shall control.
In the event of any conflict between the body of this Agreement and Exhibit "3", the body of
this Agreement shall control. As of August 26, 2014, the City is unaware of any conflicts
between this Agreement and the City's zoning ordinance or other ordinances or regulations.
7.4. Future Application.
A portion or all of the Premises and/or Required Improvements may be eligible for
complete or partial exemption from ad valorem taxes as a result of existing law or future
legislation. This Agreement shall not be construed as evidence that such exemptions do not
apply to the Premises and/or Required Improvements.
7.5. City Council Authorization.
This Agreement was authorized by the City Council through approval Mayor and
Council Communication No. C-26936 on August 26, 2014, which, among other things,
authorized the City Manager to execute this Agreement on behalf of the City.
7.6. Estoppel Certificate.
Any party hereto may request an estoppel certificate from another party hereto so
long as the certificate is requested in connection with a bona fide business purpose. The
certificate, which if requested will be addressed to the Owner, shall include, but not
necessarily be limited to, statements that this Agreement is in full force and effect without
default (or if an Event of Default exists, the nature of the Event of Default and curative
action taken and/or necessary to effect a cure), the remaining term of this Agreement, the
levels and remaining term of the Abatement in effect, and such other matters reasonably
requested by the party or parties to receive the certificates.
Page 8 of 12
NEZ Tax Abatement with Gabriela Orduno, 3301 E. Belknap
Approved by M&C C-26936, August 26, 2014
7.7. Owner Standing.
Owner shall be deemed a proper and necessary party in any litigation questioning or
challenging the validity of this Agreement or any of the underlying laws, ordinances,
resolutions, or City Council actions authorizing this Agreement and Owner shall be entitled
to intervene in any such litigation.
7.8. Venue and Jurisdiction.
This Agreement shall be construed in accordance with the laws of the State of Texas
and applicable ordinances, rules, regulations, or policies of the City. Venue for any action
under this Agreement shall lie in the State District Court of Tarrant County, Texas. This
Agreement is performable in Tarrant County, Texas.
7.9. Severability.
If any provision of this Agreement is held to be invalid, illegal, or unenforceable, the
validity, legality and enforceability of the remaining provisions shall not in any way be
affected or impaired.
7.10. Headings Not Controlling.
Headings and titles used in this Agreement are for reference purposes only and shall
not be deemed a part of this Agreement.
7.11. Entirety of Agreement.
This Agreement, including any exhibits attached hereto and any documents
incorporated herein by reference, contains the entire understanding and agreement between
the City and Owner, their assigns and successors in interest, as to the matters contained
herein. Any prior or contemporaneous oral or written agreement is hereby declared null and
void to the extent in conflict with any provision of this Agreement. This Agreement shall
not be amended unless executed in writing by both parties and approved by the City
Council. This Agreement may be executed in multiple counterparts, each of which shall be
considered an original, but all of which shall constitute one instrument.
(REMAINDER OF PAGE INTENTIONALLY BLANK)
Page 9 of 12
NEZ Tax Abatement with Gabriela Orduno, 3301 E. Belknap
Approved by M&C C-26936, August 26, 2014
City of Fort Worth: Owner:
By: By: . �-
Fernando Costa Gabriela Orduno
Assistant City Manager
ATTEST:
By: V 070
City Secretary S$Z
X 00
AS
APPROVED AS TO FORM AND LEGALITY:
Byl�--9( -WCL�
Melinda Ramos
Sr. Assistant City Attorney
M& C: C-26936
STATE OF TEXAS §
COUNTY OF TARRANT §
BEFORE ME, the undersigned authority, on this day personally appeared Fernando Costa,
Assistant City Manager of the CITY OF FORT WORTH, a municipal corporation, known to me to
be the person and officer whose name is subscribed to the foregoing instrument, and acknowledged
to me that the same was the act of the said CITY OF FORT WORTH, TEXAS, a municipal
corporation, that he was duly authorized to perform the same by appropriate resolution of the City
Council of the City of Fort Worth and that he executed the same as the act of the said City for the
purposes and consideration therein expressed and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this _�� day of
,��yy��
�-,A-I-k , 201?r
a;: P"o;.� TRIKINYA L.JOHNSON
Notary P lic i d for :�: Notary Public,state of Texas
the Sta_t Texas. fuly Commission Expires
L
April 17, 2018
Notary's Printet Name
OFFICIAL RECORD
CITY SECRETARY
FT.WORTH,TX
Page 10 of 12
NEZ Tax Abatement with Gabriela Orduno, 3301 E. Belknap
Approved by M&C C-26936,August 26, 2014
STATE OF TEXAS §
COUNTY OF TARRANT §
BEFORE ME, the undersigned authority, on this day personally appeared Gabriela Orduno, known
to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to
me that he executed the same for the purposes and consideration therein expressed, in the capacity
therein stated.
GI v'EN V 1 V DER MY HAND AND SEAL OF OFFICE this /�f day of
201-45
Notafy Public in and or ""'" MAME L.SANDERS
The State of Texas MY COMMISSION EXPIRES
xw khan 17,2018
No ry's Printed Name
Page 11 of 12
NEZ Tax Abatement with Gabriela Orduno, 3301 E. Belknap
Approved by M&C C-26936, August 26, 2014
Exhibit 1: Property Description
Exhibit 2: Application: (NEZ) Incentives and Tax Abatement
Exhibit 3: Project description
Exhibit 4: Final Construction Invoices and Final Site Plan
Page 12 of 12
NEZ Tax Abatement with Gabriela Orduno, 3301 E. Belknap
Approved by M&C C-26936, August 26, 2014
Exhibit "1"
Property Description
3301 Belknap Street, Lot 1R, J.M. Anderson Addition, an Addition to the City of Fort
Worth, Tarrant County, Texas, according to the Plat recorded in Volumes 388-212, Page
23, Plat Records, Tarrant County, Texas.
FORT WORTH
Application No.
CI'T'Y OF FORT WORTH
NEIGHBORHOOD EMPOWERMENT ZONE (NEZ) PROGRAM
F PROJECT CERTIFICATION APPLICATION
I. APPLICATION CHECKLIST - Please submit the following documentation:
❑ A completed application form
❑ A list of all properties owned by the applicant, owner,developer, associates, principals,partners,and agents
in the City Fort Worth
❑ Non Refundable Application fee—For all Basic Incentives applications excluding Tax Abatement the
application fee is$25.00.For multifamily,commercial,industrial, commercial facilities,and mixed-use tax
abatement applications: 0,5%of the total Capital Investment of the project,with a$200.00 minimum and
not to exceed$2,000.00;For residential tax abatement applications:$100.00 per house.
❑ Proof of ownership,such as a warranty deed,affidavit of heirship,or a probated will OR evidence of site
control,such as option to buy(A registered warranty deed is required for tax abatement application.)
❑ Title abstract of the property(only if applying for release of City liens)
❑ A reduced 1 1x17 floor plan,site plan,and site elevation with
a written detailed project description that includes a construction time line
❑ A detailed line item budget showing the cost breakdown for the project
❑ Copy of Incorporation Papers noting all principals,partners, and agents if applicable
❑ Required-Meet with the Cotmcilmember and Neighborhood &,other Organizations representing the NEZ
as outlined in the Public Notice requirement of the NEZ Policy and Guidelines revised April 6,2004 or
followed guidelines of NEZ Strategic Plan if Strategic Plan is in place for the specific NEZ.
❑ Support letter from Woodhaven Neighborhood Association and Woodhaven Community Development
Corporation(For projects located in Woodhaven NEZ only)
INCOMPLETE APPLICATIONS WILL NOT BE PROCESSED FOR CERTIFICATION UNTIL ALL REQUIRED
DOCUMENTS SHOWN IN TIIE ABOVE CHECKLIST ARE SUBMITTED WITHIN 30 DAYS AFTER THE
APPLICATION IS RECEIVED.
YOU MUST APPLY FOR TAX ABATEMENT BEFORE ANY BUILDING PERMITS ARE ISSUED FOR YOUR
PROPERTY AND BEFORE ANY IMPROVEMENTS ARE MADE TO YOUR PROPERTY. IT TAKES 60 TO 90
BUSINESS DAYS TO COMPLETE THE TAY ABATEMENT AGREEMENT APPROVAL PROCESS AFTER THE
ISSUANCE OF NEZ CERTIFICATION DEPENDING ON THE COMPLEXITY OF YOUR PROJECT. ALL
BUILDING PERMITS MUST BE PULLED WITHIN THE 12 MONTH PERIOD THAT CERTIFICATION WAS
APPROVED, OR WITHIN THE 12 MONTH PERIOD THAT THE TAX ABATEMENT WAS APPROVED, OR YOU
WILL,BE REQUIRED TO RE-APPLY FOR NEZ INCENTIVES,
II. APPLICANT/AGENT INFORMATION
I. Applicant: C��+ZL�L./� 09,pU t t V 2. Contact Person: l�fK t✓AeMA&tA Q
3. Address:
Street City State Zip
4. Phone no,: L_fj�q_-Z Z 0_v.? � S. Fax No.: I
6. Email:
7. Agent(if any) lG( C.A KA�C' C)
8. Address: q ll2 w , *_VQO�
Rreet City State Zip
9. Phone no.: ID. Fax No.:
I I. Email: G GLtilM CtiI, O �to• C_
Revised July 12,2011 1
i
FORTWORTH ApplicationNo.Nzlq
PROJECT ELIGIBILITY
1. Please list down the addresses and legal descriptions of the project and other properties your
organization owns in Fort Worth. Attach metes and bounds description if no address or legal
description is available. Attach a map showing the Iocation of the project.
Table 1 Property Ownership
Address Zip Code Le rrin nn
project Location Subdivision Name Lot No. Block No.
I VA
�oaJ
Other properties owned in the City of Fort Worth -continue on a separate sheet and attach if necessary.
l3
2. For each property listed in Table I,please check the boxes below to indicate if:
• there are taxes past due;or r
• there are City liens; or
• You (meaning the applicant, developer, associates, agents, principals) have been subject to a Building
Standards Commission's Order of Demolition where the property was demolished within the last five i
years.
Table 2 Property Taxes and City Liens
Property City Liens on Property
Address Taxes Weed Board-up/Open Demolition Paving Order or
Due Liens Stucture Liens Liens Liens Demolition
El El 0
❑ ❑ ❑ ❑
El ❑ ❑
❑ ❑ ❑
El El R El
❑ ❑
(Please attach additional sheets of paper as needed.)
1
If there are taxes due or liens against any property in the City of Fort Worth you may not be eligible
for NLZ incentives
Revised July 12,201 l 2
FORT WORTH Application No. ZO -00153
3. Do you own other properties under other names? ❑Yes❑No
If Yes,please specify
4. Does the proposed project conform with City of Fort Worth Zoning? Q Yes ❑No
If no, what steps are being taken to insure compliance?
S. IProject ❑ Q I ❑ ❑ ❑
Type: Single Family Multi-Family Commercial Industrial Community Facilities Mixed-Use
Owner Orcupled
Renfal Properly
U. Please describe the proposed residential or commercial project: VOF
7. If your project is a commercial, industrial,or mixed-use project,please describe the types of
businesses that are being proposed: & Q-I< S AI.�01�!
S. Is this a new construction or rehab project? XNew Construction Q Rehab d
4. How much is the total development cost of your project?
' 'd D OD.
10. Will the eligible rehabilitation work* equal to at least 30% of the Tarrant Appraisal District(TAD)
assessed value of the structure(luring the year rehabilitation occurs? Yes ❑No
*Eligible rehabilitation includes only physical improvements to real property. It does NOT include:
Front yard fencing consisting of chain-link or solid material construction,personal property such as furniture,
appliances,equipment,and/or supplies.Total eligible rehabilitation costs shall equal to or exceed 30%of the
TAD appraised value of the structure during the year rehabilitation occurs.
11. How much is the total square footage of your project? (1( 321wo square feet
*T i in"=for a;t z=ab'#erl erit lase: ler: a ions TZ- (fiiEi t . i';tp'r i t.I Bite if v s
12.For a single-family homeownership, mixed-use, or multi-family development nroiect, please fill out
the number of residential units based on income range of owners or renters in the following table.
Table 3 Number of Residential Units and Income Range of Owners or Renters
�f;i.
:,NuinberoLrn e Range, .
ta
e.-
>80%ofAMFI**
At or below 80%of AMFI
,�,• i
**AMFI:Area Median Family Income, Please see attachment for income and housing payment guidelines,
13. Fora multifamily project to be qualified for tax abatement, at least 20% of totalunits shall be
affordable to families at or below 80%of AMFI. Check the box if you are requesting a waiver of this
requirement. ❑
14, For a commercial, industrial or community facilities protect,- indicate square footage of non-
residential space, d
.�i.ustial��; :;�:•:t``=�;.=�, -.c. _, .<
square feet square feet square feet
Revised July 12,2011 3
� iFORTWORTH ApplicationNoW Iq -Wo .
15. How much will be your Capital Investment"' on the project? Please use the following table to provide
the details and amount of your Capital Investment(Attached additional sheets if necessary).
Table 4 Itemized Budget of'the Project
Items Amount <.;` Notes;
6LA') 1000.
( lsC. ao.aQo�
Total - -
***Capital Investment includes only real property improvements such as new facilities and structures,site improvements, facility
expansion, and facility modernization, Capital Investment DOES NOT include land acquisition costs and/or any existing
improvements,or personal property(such as machinery,equipment,and/or supplies orinventory).
K16. For a commercial Industrial communi facility or mixed-use prolec , how many employees will the
projeef generate?
17. For a mixed-use project,please indicate the percentage of all uses in the project in the following table.
Table 5 Percentage of Uses in a Mixed-Use Project
Te S "ua�re:�a'fa'e; rcerrtREM,
1.
Q.
Residential
Office
Eating
Entertainment
Retail sales
Service
Tottal... . . .
III, INCENTIVES - What incentives are you applying for?
Municipal Property Tax Abatements
Must provide Final Plat Cabinet and Slide for Tax Abatement Cabinet Slide
❑ 5 years ❑More than 5 years
❑Residential owner occupied ❑Residential Rental Property ❑Apartments(5 plus units) ❑Commercial 1
evelonment Fee Waivers
❑ All building permit related fees(including Plans Review and Inspections)
❑ Plat application fee(including concept plan,preliminary plat, final plat,short form replat)
❑ Zoning application fee ❑ Board of Adjustment application fee
❑ Demolition fee ❑ Structure moving fee
❑ Community Facilities Agreement(CFA)application fee
❑ Street and utility easement vacation application fee
Impact Fee Waivers_-The maximum waterlwastewater Impact fee waiver amount for a commercial, industrial,mixed- I
use, or community facility development project is equivalent to the waterlwastewater impact fee of two 6-inch meters
❑ Water (Meter Size �� (No.of meters 3 ❑Transportation
Release of City Liens
❑ Weed liens ❑Paving liens ❑Board up/open structure liens ❑Demolition liens
Revised July 12,2011 4
, n
FORT WORTH -00153
Application No.&at
III. ACKNOWLEDGMENTS
1 hereby certify that the information provided is true and accurate to the best of my knowledge. I hereby
acknowledge that I have received a copy of NEZ Basic Incentives,which governs the granting of tax abatements,fee
waivers and release of City liens, and that any VIOLATION of the terms of the NEZ Basic Incentives or '
MISREPRESENTATION shall constitute grounds for rejection of an application or termination of incentives at the
discretion of the City,
I
I understand that the approval of fee waivers and other incentives shall not be deemed to be approval of any aspect of
the project. I understand that I am responsible in obtaining required permits and inspections from the City and in
ensuring the project is located in the correct zoning district.
I understand that my application will not be processed if it is incomplete. I agree to provide any additional
information for determining eligibility as requested by the City.
(PRINTED OR TYPED NAME) ( T O Z SIGNATURE) (DATE)
I
i
1' Please mail-br fiixyoura IiicafYon•;to- ,.-. -
City..of Foi't Word;Plan>din air 1 Develo, menf De artn%enf
..10.00_Throck artan 5tre li orf"WtrtFi:`Te�iasi76102 -y
e. ' 1. R I
T S 92 Z22 �:Fa
`3.
Electronic version of this form is available on our website. For more information on the NEZ Program,please visit
our web site at www.fortworthgoy.org/planninganddevelopment
For Office Use Only
Application No. In which NEZ? Council District
Application Completed Date(Received Date): Conform with Zoning? ❑Yes ❑No
Type? ❑SF ❑Multifamily ❑Commercial ❑Industrial ❑Community facilities ❑Mixed-Use
Construction completion date? ❑Before NEZ❑After NEZ Ownership/Site Control ❑Yes[]No
TAD Account No. _ Consistent with the NEZ plan? ❑Yes ❑No
Meet affordability test? ❑Yes ❑No Minimum Capital Investment? ❑Yes ❑No
Rehab at or higher than 30%? ❑Yes ❑No Meet mixed-use definition? ❑Yes ❑No
Tax current on this property? ❑Yes ❑No Tax current on other properties? ❑Yes ❑No
City liens on this property? City liens on other properties?
• Weed liens ❑Yes ❑No • Weed liens ❑Yes []No
• Board-up/open structure liens ❑Yes ❑No • Board-up/open structure liens ❑Yes ❑No
• Demolition liens ❑Yes ❑No • Demolition liens ❑Yes ❑No
• Paving liens ❑Yes ❑No • Paving liens ❑Yes ❑No
• Order of demolition ❑Yes ❑No • Order of demolition ❑Yes ❑No
Certified? ❑Yes ❑No Certified by Date certification issued?
If not certified,reason
Referred to: []Economic Development ElHousing ❑Development []Water []Code ❑TPW
Revised July 12,2011 5
Exhibit 3
Proleet Description
New construction of a 6,300 square foot bakery:
• Limestone Veneer and Brick Veneer
• Fabric Awnings
• Aluminum Storefront Windows
• Cast Stone Accents
Exhibit 4
Final Construction Invoices
Will be provided to City after construction is complete and final Certificate of
Occupancy is issued.
Official site of the City of Fort Worth,Texas
CrTV COUNCIL AGENDA FORTH
COUNCIL ACTION: Approved on 8/26/2014
DATE: 8/26/2014 REFERENCE C-26936 LOG NAME: 17NEZ3301 EBELKNAP
NO.:
CODE: C TYPE: NOW PUBLIC NO
CONSENT HEARING:
SUBJECT: Authorize Execution of a Five-Year Tax Abatement Agreement with Gabriela Orduno for
the Construction of a Bakery on Property Located at 3301 E. Belknap Street in the Six
Points Neighborhood Empowerment Zone (COUNCIL DISTRICT 4)
RECOMMENDATION:
It is recommended that the City Council authorize the execution of a Five-Year Tax Abatement
Agreement with Gabriela Orduno for the construction of a bakery on property located at 3301 E.
Belknap Street in the Six Points Neighborhood Empowerment Zone, in accordance with the
Neighborhood Empowerment Zone Tax Abatement Policy and Basic Incentives.
DISCUSSION:
Gabriela Orduno (Property Owner), is the owner of the property described as Lot 1 R, J.M. Anderson's
Addition, an Addition to the City of Fort Worth, Tarrant County, Texas, according to the plat recorded
in Volume 388-212, Page 23, Plat Records, Tarrant County Texas, 3301 E. Belknap Street, Fort
Worth, Texas. The property is located within the Six Points Neighborhood Empowerment Zone
(NEZ).
The Property Owner plans to invest an estimated amount of$860,800.00 to construct an
approximately 6,300 square foot bakery (Project). The Housing and Economic Development
Department reviewed the application and certified that the Project met the eligibility criteria to receive
a municipal property tax abatement. The NEZ Tax Abatement Policy and Basic Incentives includes a
five-year municipal property tax abatement on the increased value of improvements to the qualified
owner of any new construction or rehabilitation within the NEZ.
Upon execution of the Agreement, the total assessed value of the improvements used for calculating
municipal property tax will be frozen for a period of five years starting January 2015 at the estimated
pre-improvement value as defined by the Tarrant Appraisal District (TAD) in August 2014 for the
property as follows:
Pre-Improvement TAD Value of Improvements $ 0.00
Pre-Improvement Estimated Value of Land $89,478.00
Total Pre-Improvement Estimated Value 1$89,478.00
The municipal property tax abatement on the improved value of the Project after construction is
estimated in the amount of$7,359.84 per year for a total in the amount of$36,799.20 over the five-
year period. However, this estimate may differ from the actual tax abatement value, which will be
calculated based on the Tarrant Appraisal District's appraised value of the property.
The Property Owner will have the right to assign the Tax Abatement Agreement to an affiliate. In the
event of a sale of this property to another party (other than an affiliate of Property Owner), the Tax
Abatement Agreement may be assigned to the new owner, but only with City Council approval and
provided that the new owner meets all of the eligibility criteria as stated in the NEZ Tax Abatement
Pagel of 2
Policy and Basic Incentives.
This property is located in COUNCIL DISTRICT 4, Mapsco 63R.
FISCAL INFORMATION/CERTIFICATION:
The Financial Management Services Director certifies that this action will have no material effect on
City funds.
TO Fund/Account/Centers FROM Fund/Account/Centers
Submitted for City Manager's Office by: Fernando Costa (6122)
Originating Department Head: Jay Chapa (5804)
Cynthia Garcia (8187)
Additional Information Contact: Sarah Odle (7316)
ATTACHMENTS
3301 E. Belknap Map.pdf
Elevations 3301 E. Belknap.pdf
Site Plan 3301 E. Belknap.pdf
Page 2 of 2