HomeMy WebLinkAboutResolution 4545-12-2015 A Resolution
NO. 4545-12-2015
AUTHORIZING EXECUTION BY THE CITY OF FORT WORTH, IN ITS
CAPACITY AS AN OWNER CITY OF DALLAS FORT WORTH
INTERNATIONAL AIRPORT, OF A TAX ABATEMENT AGREEMENT
BETWEEN AMERICAN AIRLINES, INC. AND TARRANT COUNTY FOR
CONSTRUCTION OF A NEW CORPORATE HEADQUARTERS AND
RELATED USES ON PROPERTY LOCATED AT DALLAS FORT WORTH
INTERNATIONAL AIRPORT
WHEREAS, on October 29, 2015 the Dallas Fort Worth International Airport
Board (the "DFW Board") approved execution of an Amendment and Extension of
American Airlines Special Facilities Agreement under which American Airlines, Inc.
("American") will lease certain real property at Dallas Fort Worth International Airport
("DFW") for purposes of, among other things, constructing a corporate headquarters
facility on the leased premises; and
WHEREAS, on November 10, 2015 the City Council approved M&C C-27526,
authorizing execution of a one-year Tax Abatement Agreement and a 14-year Economic
Development Program Agreement between the City and American; and
WHEREAS, as part of the overall economic development incentive for American
to construct the corporate headquarters facility on the leased premises at DFW, American
has requested that Tarrant County (the "County") also grant it a tax abatement; and
WHEREAS, Section 312.206(a) of the Texas Tax Code will permit the County to
enter into a tax abatement agreement with American (the "County Tax Abatement
Agreement") provided that (i) the City has also granted American a tax abatement and
(ii) the County Tax Abatement Agreement is executed by the "owner" of the property
subject to the abatement; and
WHEREAS, the Cities of Dallas and Fort Worth technically are the owners of the
property comprising DFW; and
WHEREAS, in order to remove any doubt as to whether a tax abatement
agreement between the County and American meets all legal requirements of Section
312.206(a), the City Councils of both Dallas and Fort Worth have been requested to
execute the County Tax Abatement Agreement;
ORT WORT
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF FORT WORTH, TEXAS:
1. THAT provided that the Agreement makes clear that neither the Cities of
Dallas or Fort Worth nor the DEW Board will assume any liability under the
Agreement with respect to the abatement or otherwise, the City Manager is
hereby authorized to execute the County Tax Abatement Agreement, subject to
the City Attorney's approval as to form; and
2. THAT this Resolution will take effect immediately from and after its adoption.
Adopted this Stn day of December, 2015.
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