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HomeMy WebLinkAboutOrdinance 23575-02-2019ORDINANCE NO. 23575-02-2019 AN ORDINANCE DESIGNATING A CERTAIN AREA IN THE CITY OF FORT WORTH AS "TAX ABATEMENT REINVESTMENT ZONE NUMBER NINETY-EIGHT, CITY OF FORT WORTH, TEXAS"; PROVIDING THE EFFECTIVE AND EXPIRATION DATES FOR THE ZONE AND A MECHANISM FOR RENEWAL OF THE ZONE; AND CONTAINING OTHER MATTERS RELATED TO THE ZONE. WHEREAS, pursuant to the City Council's adoption on January 29, 2019 of Resolution No. 5040-01-2019 (the "Tax Abatement Policy"), the City of Fort Worth, Texas (the "City") has elected to be eligible to participate in tax abatement and has established guidelines and criteria governing tax abatement agreements entered into between the City and various third parties, as authorized by and in accordance with the Property Redevelopment and Tax Abatement Act, codified in Chapter 312 of the Texas Tax Code (the "Code"); and WHEREAS, the City Council desires to promote the development of the area in the City more specifically described in Exhibit "A" of this Ordinance (the "Zone") through the creation of a reinvestment zone for purposes of granting a business expansion tax abatement, as authorized by and in accordance with Chapter 312 of the Code; and WHEREAS, Ben E. Keith Company or an affiliated entity ("Company") wishes to expend or cause to be expended at least $22.0 million in real property improvements for the expansion of facilities and operations located on property to be located in the Zone, (collectively, the "Improvements"); and WHEREAS, Company has applied for real and business personal property tax abatements from the City in return for the installation of the Improvements in the Zone and Page 1 Ordinance Designating Tax Abatement Reinvestment Zone Number Ninety -Eight, City of Fort Worth, Texas compliance with certain other employment and spending commitments that will foster economic development in the Zone and the City in general; and WHEREAS, on February 12, 2019 the City Council held a public hearing regarding the creation of the Zone, received information concerning the Improvements proposed for the Zone and afforded a reasonable opportunity for all interested persons to speak and present evidence for or against the creation of the Zone ("Public Hearing"), as required by Section 312.201(d) of the Code; and WHEREAS, notice of the Public Hearing was published in a newspaper of general circulation in the City on February 3, 2019, which satisfies the requirement of Section 312.201(d)(1) of the Code that publication of the notice occur not later than the seventh day before the date of the public hearing; and WHEREAS, in accordance with Sections 312.201(d)(2) and (e), of the Code notice of the Public Hearing was delivered in writing not later than the seventh day before the date of the public hearing to the presiding officer of the governing body of each taxing unit that includes in its boundaries real property that is to be included in the proposed Zone; NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS: Section 1. FINDINGS. That after reviewing all information before it regarding the establishment of the Zone and after conducting the Public Hearing and affording a reasonable opportunity for all interested persons to speak and present evidence for or against the creation of the Zone, the City Council hereby makes the following findings of fact: Page 2 Ordinance Designating Tax Abatement Reinvestment Zone Number Ninety -Eight, City of Fort Worth, Texas 1.1. The statements and facts set forth in the recitals of this Ordinance are true and correct. Therefore, the City has met the notice and procedural requirements established by the Code for creation of a reinvestment zone under Chapter 312 of the Code. 1.2. The Improvements proposed for the Zone, as more specifically outlined in the Public Hearing, are feasible and practical and, once completed will benefit the land included in the Zone as well as the City for a period of five (5) years, with an option to extend for not more than an additional five (5), but not to exceed ten (10) years, which is the statutory maximum term of any tax abatement agreement entered into under the Chapter 312 of the Code. 1.3. As a result of designation as a reinvestment zone, the area within the Zone is reasonably likely to contribute to the expansion of primary employment and to attract major investment in the Zone that will be a benefit to property in the Zone and will contribute to the economic development of the City. Section 2. DESIGNATION OF ZONE. That the City Council hereby designates the Zone described in the boundary description attached hereto as Exhibit "A" and made a part of this Ordinance for all purposes as a reinvestment zone for purposes of granting business expansion tax abatement, as authorized by and in accordance with Chapter 312 of the Code. This Zone shall be known as "Tax Abatement Reinvestment Zone Number Ninety -Eight, City of Fort Worth, Texas." This project is eligible for commercial/industrial tax abatement pursuant Page 3 Ordinance Designating Tax Abatement Reinvestment Zone Number Ninety -Eight, City of Fort Worth, Texas as a Target Industry (Manufacturing), as defined in and in accordance with Section 4 of the Tax Abatement Policy. Section 3. TERM OF ZONE. That the Zone shall take effect upon the effective date of this Ordinance and expire five (5) years thereafter. The Zone may be renewed by the City Council for one or more subsequent terms not to exceed five years. Section 4. SEVERABILITY. That if any portion, section or part of a section of this Ordinance is subsequently declared invalid, inoperative or void for any reason by a court of competent jurisdiction, the remaining portions, sections or parts of sections of this Ordinance shall be and remain in full force and effect and shall not in any way be impaired or affected by such decision, opinion or judgment. Section 5. IMMEDIATE EFFECT. That this Ordinance shall take effect upon its adoption. APPROVED AS TO FORM AND LEGALITY: By:4L Melinda Ramos Senior Assistant City Attorney ADOPTED AND EFFECTIVE: February 12, 2019 M&C: G-19489 ATTEST: ry J. City Secretary Page 4 Ordinance Designating Tax Abatement Reinvestment Zone Number Ninety -Eight, City of Fort Worth, Texas EXHIBIT "A" BOUNDARY DESCRIPTION OF ZONE Being a tract of land situated in the John D. Hudson Survey, Abstract No. 741 and the William Hudson Survey, Abstract No. 738 in the City of Fort Worth, Tarrant County, Texas and being a portion of Block 4, Carter Industrial Park, per plat as recorded in Volume 388-31, Page 52 of the Deed Records of Tarrant County, Texas and being a portion of the third tract as deeded to Carter Foundation Production Company (aka Mereken Land & Production Company) per documents recorded in Volume 3587, Page 319 and Volume 3595, Page 24 of said Deed Records of Tarrant County, Texas, said tract being more particularly described by metes and bounds as follows: BEGINNING at a found— inch iron rod on the West R.O.W. line of Will Rogers Boulevard (a 110 foot wide R.O.W. per said plat) being or intended to be the Southeast comer of a tract deeded to Ivy Corporation per document recorded in Volume 7665, Page 584 of said Deed Records, from said found — inch iron rod a found 5/8 inch capped iron rod (Carter & Burgess) being or intended to be the Northeast comer of said Ivy tract bears North 00 degrees 15 minutes 30 seconds West, a distance of 592.93 feet; THENCE South 00 degrees 15 minutes 30 seconds East (Reference Bearing), along said West R. 0. W. line of Will Rogers Boulevard, a distance of 2022.52 feet to a set 5/8 inch capped iron rod (BHB INC) being the Northeast corner of a tract deeded to Missouri Pacific Railroad Company per document recorded in Volume 9941, Page 1080 of said Deed Records, from said set 5/8 inch capped iron rod (BHB INC) a found 5/8 inch capped iron road (Carter & Burgess) bears South 00 degrees 15 minutes 30 seconds Bast. a distance of 50.00 feet of which is being or intended to be the Northeast comer of a tract deeded to Mereken Land & Production Company per document recorded in Volume 12575, Page 2311 of said Deed Records; THENCE South 89 degrees 45 minutes 00 seconds West, leaving said West R.O.W. line of Will Rogers Boulevard and along the North line of said Missouri Pacific Railroad Company tract, a distance of 624.22 feet to a set 5/8 inch capped iron rod (BHB INC), said set 5/8 inch capped iron rod (BHB INC) also being the beginning of a curve to the right whose chord bears North 48 degrees 04 minutes 00 seconds West, a distance of 736.90 feet and having a radius of 548.69 feet; THENCE Northwesterly, along said curve to the right along the Northerly line of said Missouri Pacific Railroad Company tract, through a central angle of 84 degrees 22 minutes 01 seconds, an arc length of 807.94 feet to a set S/8 inch capped iron rod (BHB INC) for the end of said curve; THENCE North 05 degrees 52 minutes 59 seconds West, along the Easterly line of said Missouri Pacific Railroad Company tract, a distance of 249.38 feet to a set 5/8 inch capped iron rod (BHB INC) on the West line of said Block 4; THENCE North 00 degrees 09 minutes 30 seconds West, along said West line of Block 4, a distance of 1279.51 feet to a found 5/8 inch iron rod being or intended to be the Southwest comer of a tract deeded to Miller Brewing Company per document recorded in Volume 6822, Page 1602 of said Deed Record; THENCE North 89 degrees 45 minutes 00 seconds Bast, along the South line of said Miller Brewing Company tract, passing a found — inch iron rod at 428.70 feet and continuing along the South line of said Ivy tract for a total distance of 1192.40 feet to the POINT OF BEGINNING and containing 2,336,380 square feet or 53.64 Gross acres of land of which 90,846 square feet or 2.09 acres lies within a drainage area located along the southerly portion of said described tract between the 30 foot building setback line and the top of bank as located in the field in the month of May, 1997 and the area of the Chevron Pipeline Company Right of Way Easement lying Easterly of a 30 foot building setback line being 8,573 square feet or 0.20 acre, leaving a net area of 2,236,961 square feet or 51.35 acres of land, more or less. City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION: Approved on 2/12/2019 - Ordinance No. 23575-024619, DATE: Tuesday, February 12, 2019 LOG NAME: 17ED TARIZ98BEK REFERENCE NO.: G-19492 SUBJECT: Conduct Public Hearing and Adopt Ordinance Designating Tax Abatement Reinvestment Zone No. 98, City of Fort Worth, Texas, on Property Located at 7650 Will Rogers Boulevard (COUNCIL DISTRICT 8) RECOMMENDATION: It is recommended that the City Council: 1. Conduct a public hearing concerning the designation of Tax Abatement Reinvestment Zone No. 98, City of Fort Worth, Texas, on property located at 7650 Will Rogers Boulevard, as more specifically described by the metes and bounds description in the attached ordinance; and 2. Adopt the attached ordinance designating Tax Abatement Reinvestment Zone No. 98, City of Fort Worth, Texas, pursuant to and in accordance with Chapter 312 of the Texas Tax Code. DISCUSSION: The proposed Tax Abatement Reinvestment Zone No. 98, City of Fort Worth, Texas will facilitate construction of a new manufacturing facility for Ben E. Keith. or an affiliated entity (Company). The proposed project will result in the investment of $22 million in real property improvements for the expansion of facilities and operations . As required by Chapter 312 of the Texas Tax Code, a public hearing must be conducted regarding the creation of a Reinvestment Zone. The exact boundaries of the proposed zone are described in Exhibit A of the attached ordinance. Notice of this hearing was delivered to the governing body of each affected taxing unit and published in a newspaper of general circulation at least seven days prior to this hearing. The area encompassing the proposed Zone meets the statutory criteria for designation as a Tax Abatement Reinvestment Zone, pursuant to Chapter 312 of the Texas Tax Code, in that the area is reasonably likely, as a result of the designation, to contribute to the expansion of primary employment and to attract major investment in the Zone that would be a benefit to the property and that would contribute to the economic development of the City. Further, the improvements sought in the Zone are feasible, practical, and would be a benefit to the land to be included in the Zone and to the City after any Tax Abatement Agreements which may be entered into have expired. The term of the proposed Zone will be ten years from the date of adoption of the attached ordinance and may be renewed for periods not to exceed five years each. The proposed Zone is located in COUNCIL DISTRICT 8. This M&C does not request approval of a contract with a business entity. Logname: 17ED TARIZ98BEK Page 1 of 2 FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that approval of the above recommendations will have no material effect on the Fiscal Year 2019 budget. Any tax abatements approved under the future policy shall be incorporated into the City's long-term financial forecast. FUND IDENTIFIERS (FIDs): TO ccoun Project Program ctivity Budget Reference # moun FROM Year Chartfield 2 Fund Department ID ccoun Project ID Program ctivity Budget Year Reference # Chartfield 2 moun CERTIFICATIONS: Fund Department ccoun ID ID Year Chartfield 2 Submitted for City Manager's Office by: Susan Alanis (8180) Originating Department Head: Robert Sturns (2663) Additional Information Contact: Michael Hennig (6024) Logname: 17ED TARIZ98BEK Page 2 of 2