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HomeMy WebLinkAboutOrdinance 20113-03-2012ORDINANCE NO. 20113 -03 -2012 AN ORDINANCE DESIGNATING A CERTAIN AREA IN THE CITY OF FORT WORTH AS "TAX ABATEMENT REINVESTMENT ZONE NUMBER EIGHTY -ONE, 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 June 22, 2010 of Resolution No. 3895 -06 -2010 (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, pursuant to the City Council's adoption on December 6, 2011 of M &C G -17459 (the "Relocation Incentives Policy "), the City has included tax abatement as one of the incentives that may be made available to businesses that are displaced and must relocate due to a Major Public Infrastructure Project, as the term is defined in the Relocation Incentives Policy,; and WHEREAS, pursuant to the City Council's adoption on July 18, 2006 of Resolution No. 3390 -07 -2006, the City Council has found that the Trinity River Uptown Project, as defined in Resolution No. 3390 -07 -2006, is a Major Public Infrastructure Project and that, therefore, businesses that are displaced and must relocate on account of 01- dinmicc Dc.ign,rting Iux - 111.ltcmcnt Rcimc.tmcnt Lone Numhcr I ight,-Onc Pagc 1 ofb ( its of Fort worth. Tcxu, Ordinuncc No, 201 1 1-03-2012 the Trinity River Uptown Project are eligible for incentives pursuant to and in accordance with the Relocation Incentives Policy; and WHEREAS, Commercial Metals Company ( "Company ") currently operates its business on property located at 601 North Throckmorton Street; and WHEREAS, Company desires to relocate its business to property located at the Quarry Lands site on Loop 820 and Old Decatur Road, as more specifically described in Exhibit "A" of this Ordinance (the "Zone "), which is located within the area of the City defined by the Relocation Incentives Policy as Area 1; and WHEREAS, as a result of Company's relocation to the Zone, Company qualifies for tax abatement under the Relocation Incentives Policy; and WHEREAS, on February 1, 2012 Company applied for a real and personal property tax abatement and certain other incentives from the City under the Relocation Incentives Policy; and WHEREAS, Company will need to make certain improvements to the property within the Zone in order to operate its business there, which improvements are more specifically described in Company's Relocation Incentives Application (collectively, the "Improvements "); and WHEREAS, on March 20, 2012 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 Ordinance Dcsignating Fax Ahatcmcnt Rcimestmcnt Zinc Number Fighty -One Page of6 0tv of ho Wirth, Tcxas Ordinance No. 201 13-01-2012 WHEREAS, notice of the Public Hearing was published in a newspaper of general circulation in the City on March 12, 2012, 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: 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. Ordinance Dcsignating [as Ahatcmcnt Rcinvcstmcnt lone Numhcr I -ighty -One Ptikc 3 of 6 Otv of Fort Worth. lcxas Ordinance No, 20 1 13 -01 -21)12 1.2. Designation of the Zone as a reinvestment zone will enable Company to receive a real property tax abatement that will assist Company in offsetting costs it must incur solely due to its displacement by the Trinity River Uptown Project and will cause Company to redevelop property in the Zone for commercial purposes that would not otherwise occur. Therefore, 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. 1.3. 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 in excess of ten (10) years, which is the statutory maximum term of any tax abatement agreement entered into under the Chapter 312 of the Code. 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 a real property and business personal property 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 Eighty -One, City of Fort Worth, Texas." This project is eligible for Ordinuncc Dc.ignating Tas Ahatcnunt Rcin�camcnt IPnC NLImhCI" F.ighiv-Oiie Pagc 4 of 6 City of Fort Worth, fcus Ordinance No. 201 13-03-2012 commercial /industrial tax abatement pursuant to Section 6.2 of the Relocation Incentives 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 of five (5) years or less. 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. Ordinance Designating lax Abatement Rcimc,,tment Lonc Numhcr Eighty -One Pagc 5 of 6 City of fort Worth, fesas Ordinance No. 20113-03-2012 Section 5. IMMEDIATE EFFECT. That this Ordinance shall take effect upon its adoption. ADOPTED AND EFFECTIVE: March 20, 2012 APPROVED AS TO FORM AND LEGALITY: By: / Y Peter Vaky Deputy City Attorney M &C: G -17540 Ordinance Designating Cax Ahatement RCIMCS01101t lone AUmhCr Eighty -Onc Pagc h of 0 Citv of Fort Worth, Tcxas Ordinance Rio. 201 13-0 1-20 1 2 EXHIBIT "A" BOUNDARY DESCRIPTION OF ZONE WHEREAS KEYSTONE EQUITY PARTNERS, LLC. And Thomas B. Blanton are the owners of a tract of land situated in the J.T. Hobbs Survey, Abstract No. 806, the C.E.P.I. & M. Co. Survey, Abstract No. 383 and the J. Bowman Survey, Abstract No. 80, Tarrant County, Texas and being a portion of tracts B -1 and B -2 as described in Special Warranty Deed to KEYSTONE EQUITY PARTNERS, LLC., as recorded in Volume 15441, Page 37 of the Deed Records of Tarrant County, Texas and being all of that certain tract of land as described in deed to KEYSTONE EQUITY PARTNERS, LLC., as recorded in County Clerk's Document No. D211270691 and also being a portion of that certain tract of land as described in deed to Thomas B. Blanton, as recorded in County Clerk's Document No. D208415098 of the Deed Records of Tarrant County, Texas and being more particularly described by metes and bounds as follows: COMMENCING at a magnesium nail found at the intersection of the easterly right-of-way of Old Decatur Road (a variable width right-of-way) and the southerly right-of-way line of Interstate Highway 820 (a variable width right -of -way); THENCE South 00 degrees 29 minutes 04 seconds East,(Directional Control Line) departing the southerly right-of-way of said Interstate 820 and along the easterly right-of-way line of said Old Decatur Road a distance of 312.90 feet to a PK Nail set in asphalt, the POINT OF BEGINNING; THENCE North 89 degrees 30 minutes 56 seconds East, departing the easterly right-of-way line of said Old Decatur Road a distance of 1,311.65 feet to a 518 inch iron rod set with "RPLS 5539" cap for a corner on a westerly line of a tract of land as described in deed to Lafarge Midwest, Inc. as recorded in County Clerk's Document No. D200175511 of the Deed Records of Tarrant County, Texas; THENCE South 06 degrees I8 minutes 20 seconds West, along a westerly line of said Lafarge Midwest tract, a distance of 1,134.41 feet to a 518 inch iron rod set with "RPLS 5539" cap for a corner; THENCE North 55 degrees 32 minutes 21 seconds West, along a northerly line of said Lafarge Midwest tract, a distance of 846.61 feet to a 518 inch iron rod set with "RPLS 5539" cap for a corner; THENCE South 39 degrees 54 minutes 10 seconds West, along a southwesterly line of said Lafarge Midwest tract, a distance of 178.62 feet to a 518 inch iron rod set with "RPLS 5539" cap for a corner; THENCE South 04 degrees 23 minutes 22 seconds East, along a westerly line of said Lafarge Midwest tract, a distance of 467.57 feet to a 518 inch iron rod set with "RPLS 5539" cap for a corner; THENCE South 89 degrees 30 minutes 56 seconds West, along the southerly line of the aforementioned Keystone Equity Partners tract and crossing a strip in the aforementioned Thomas B. Blanton tract, a distance of 399.67 feet to a pk nail set in the approximate centerline of the aforementioned Old Decatur Road; THENCE North 00 degrees 29 minutes 04 seconds West, along the approximate centerline of said Old Decatur Road and at a distance of 583.43 feet passing a magnesium nail found and a total distance of 1244.06 feet to the POINT OF BEGINNING and containing 1,236,146 square feet or 28.378 acres of land, more or less. Copyright 201 1 Ctv of Fort Worth Unauthori zed reproduction Is a violation of applicable labs This product is for informational purposes and may not have been prepared for or be suitable for legal, engineering, or surveving purposes It does not represent an on- the - ground survey and represents only the approximate relative location of property boundaries Fhe City of Fort Worth assumes no responsibility for the accuracy of said data Tax Abatement Reinvestment Zone No. 81 "Exhibit A" City of Fort Worth, Texas Mayor and Council Communication RECOMMENDATION: It is recommended that the City Council: 1. Conduct a public hearing concerning the designation of property in the vicinity of Northwest Loop 820 and Old Decatur Road as Tax Abatement Reinvestment Zone No. 81, City of Fort Worth, Texas; and 2. Adopt the attached Ordinance that designates Tax Abatement Reinvestment Zone No. 81, City of Fort Worth, Texas, pursuant to and in accordance with Chapter 312 of the Texas Tax Code. DISCUSSION: Commercial Metals Company is being displaced from its current location at 601 N. Throckmorton Street due to the Trinity River Uptown Project and is considering relocating its business to property on Old Decatur Road, just south of Northwest Loop 820 and west of Fort Worth Meacham International Airport. Under the City of Fort Worth's (City) Relocation Incentives Policy, which was most recently readopted by the City Council on December 6, 2011 pursuant to Resolution No. 4051 -12 -2011, businesses that are displaced by a Major Infrastructure Project are eligible to receive incentives, including tax abatement, if they relocate to certain designated areas in the City. Pursuant to Resolution No. 3390- 07 -2006, the City Council has designated the Trinity River Uptown Project as a Major Public Infrastructure Project. In order for the City Council to consider the grant of a tax abatement to Commercial Metals Company under the Relocation Incentives Policy, the City Council must first conduct a public hearing and then designate the site on which Commercial Metals is considering for its relocation as a Tax Abatement Reinvestment Zone. The exact boundaries of the proposed Tax Abatement Reinvestment Zone No. 81, City of Fort Worth, Texas (Zone), are described in the map and property description set forth in Exhibit A of the attached Ordinance. The proposed Zone is located within the portion of the City designated by the Relocation Incentives Policy as Area 1. Notice of this public 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 retention or expansion of primary employment or 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 Logname: 17RIZCMC Page 1 of 2 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 five years from the date of adoption of the attached Ordinance and may be renewed for periods not to exceed five years each. Tax Abatement Reinvestment Zone No. 81 is located in COUNCIL DISTRICT 2. FISCAL INFORMATION / CERTIFICATION: The Financial Management Services Director certifies that this action will have no material effect on City funds. FUND CENTERS: TO Fund /Account/Centers CERTIFICATIONS: Submitted for City Manager's Office by: Originating Department Head: Additional Information Contact: Logname: 17RIZCMC FROM Fund /Account/Centers Fernando Costa (6122) Jay Chapa (5804) Robert Sturns (8003) Page 2 of 2