HomeMy WebLinkAboutResolution 3411-09-2006A Resolution
NO 3411-09-2006
Granting Conditional Consent to Creation of Tradition Municipal Utility District No. 2 of
Denton County, Texas
WHEREAS, the owners of land within the proposed boundaries of Tradition Municipal Utility
District # 2 of Denton County Texas (the 'District") have filed a Petition Requesting Consent to the
Creation of a Mumc~pal Utility District (the `Petition') requesting consent from the Crty of Fort Worth
(the `Crty") to creation of the District to include approximately 1919 898 acres located m Denton
County Texas described on Exhibit A attached hereto and
WHEREAS, the Land proposed to be included m the District lies within the extraterritorial
jurisdiction of the Crty• and
WHEREAS, the District proposes to provide water sanitary sewer drainage, roads and other
services to the Land within the proposed boundaries of the District; and
WHEREAS, pending further discussions with the proponents of the District, at this time the City
believes that creation of the District, as proposed m the request, is not necessary and is neither feasible
nor practicable, and that creation of the District would not further the public welfare, nor would rt be a
benefit to the Land within the boundaries of the proposed District or the residents of the proposed
District, and the Crty reserves the right to pursue all legal remedies to oppose and protest the creation of
the District;
WHEREAS, the City nonetheless desires to assert its conditional consent to creation of the
District and the inclusion within the District of the Land within the City's extraterritorial jurisdiction in
the event that the District is created,
WHEREAS, the purpose of granting conditional consent is to facilitate further discussions and
negotiation with the proponents of the District;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FORT WORTH, TEXAS
That the Crty hereby grants its consent to the creation of the District and the inclusion within the
District of the Land described m Exhibit A attached hereto within the City's extraterritorial jurisdiction
subject to and specifically conditioned upon the following:
.solution No. 3411-09-2006
1 This consent is effective only m the event that the entity creating the District finds that
the District should be created under applicable constitutional, statutory and regulatory
provisions. The Crty specifically reserves the right to oppose and protest the creation of
the District and the inclusion of the Land within the District.
2 The District shall construct all facilities to serve the Land m accordance with plans and
specifications that have been approved by the City
3 The Crty shall have the right to inspect all facilities being constructed by the District.
4 The Crty shall have the right to review and approve the District's bonds and notes prior to
issuance and may place restrictions on the terms and provisions of the District's bonds
and notes issued to provide service to the Land and conditions on the sale of the District's
bonds and notes to the extent such restrictions and conditions do not generally render the
bonds and notes of the District unmarketable
5 The purposes for which the District may issue bonds shall be limited to the purchase,
construction, acquisition, repair extension and improvement of land, easements, works,
improvements, facilities, plants, equipment and appliances necessary to
i. provide a water supply for municipal uses, domestic uses and commercial
purposes,
u. colllect, transport, process, dispose of and control all domestic, industrial or
communal wastes whether in fluid, solid or composite state and
iii. gather conduct, divert and control local storm water or other local harmful
excesses of water m the district and the payment of organization expenses,
operation expenses during construction and interest during construction.
6 The purposes, powers and duties of the District shall be limited to those expressly
authorized for municipal utility distracts pursuant to the Texas Water Code and applicable
constitutional provisions. By approving this resolution, the City does not consent to the
financing of facilities designed or utilized to perform fire fighting services, the exercise
of road powers or the conversion of the District to any other form of district.
7 The parties may negotiate further and contract, m writing, to modify the foregoing terms
and condrt~ons of the City's consent to the creation and purpose of the District and the
inclusion wrthm the District of the Land.
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Resolution No. 3411-09-2006
8 The phrase consent to creation as used m this resolution has the meaning provided m
Sec. 42 042 (d), Texas Local Government Code, to wit, authorization to initiate
proceedings to create the District as provided by law
Adopted this 12t" day of September , 2005
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Resolution No. 3411-09-2006 Exhibit A
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City of Fort Worth, Texas
Mayor and Council Communication
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COUNCIL ACTION Approved on 9/12/2006 Resolution No 3411-09-2006
DATE Tuesday September 12 2006
LOG NAME 06TRADlTION 2 REFERENCE NO G 15392
SUBJECT
Approval of Resolution Granting Conditional Consent to the Creation of Tradition Municipal Utility
District No 2 of Denton County Texas
RECOMMENDATION
It is recommended that the City Council approve the attached resolution granting conditional consent to the
creation of Tradition Municipal Utility District No 2 of Denton County Texas.
DISCUSSION
In 2005 the Texas legislature (H B 3535) authorized the creation of Fort Worth Municipal Utility District
No 1 of Denton County consisting of 431 acres subject to adoption of a consent resolution by the Fort
Worth City Council The name was later changed to Tradition Muncipal Utility District No 1 of Denton
County On December 13 2005 (M&C C-21197 and C-21198) the City Council adopted the consent
resolution and approved all associated contractual agreements for this first phase of the development.
Municipal Utility District No 1 of Denton County includes 431 acres of the total project that is expected to
cover 2 663 acres in the Extra-Territorial Jurisdictions (ETJ) of Fort Worth and Northlake upon completion
Aperion Communities, LLLP Eladio Properties LLLP and Drooy Properties LLLP all Arizona limited
liability limited partnerships, jointly own and intend to seek Texas legislative authority to create Tradition
Municipal Utility District No 2 of Denton County during the upcoming legislative session. A petition for this
district was presented to the City of Fort Worth on July 18 2006 giving the City ninety days to respond
under state law The owner intends to develop 1919 898 acres in Fort Worth s Extraterritorial Jurisdiction as
a mixed-use development at an estimated cost of $150 000 000 Tradition Municipal Utility District No 2 of
Denton County will cover the remainder of the development but will be developed in 5 phases As with
Tradition Municipal Utility District No 1 of Denton County the proposed legislation will be subject to the
consent of the Fort Worth City Council The general nature of the work proposed to be done by the district
includes the construction maintenance and operation of water systems sewer systems, storm drainage
systems and roads.
Approval of the Conditional Consent Resolution at this time will demonstrate the City's on-going support of
this project to the legislature and will facilitate further discussions and negotiations between the City and the
proponents of the District. The Resolution will allow the City to exert all of the rights allowed under state
law These include the right to review and approve all plans and specifications inspect all facilities being
constructed by the District, review and approve the District's bonds and notes prior to approval and limit the
purposes for which the District may issue bonds to providing water service sewer service and storm water
control The City also reserves the right to further negotiate and contract in writing to modify these
conditions
FISCAL INFORMATION/CERTIFICATION
The Finance Director certifies that approval of this Agreement will have no material effect on City funds
Logname 06TRADITION 2 Page 1 of 2
TO Fund/Account/Centers
FROM Fund/AccountJCenters
Submitted for City Manager's Office by; Dale Fisseler (6140)
Ori ig nating_Department Head. Bob Riley (8901)
Additional Information Contact: Susan Alanis (8180)
Logname 06TRADITION 2 Page 2 of 2