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HomeMy WebLinkAboutOrdinance 23777-08-2019 ORDINANCE NO.23777-08-2019 AN ORDINANCE LEVYING ASSESSMENTS FOR THE COST OF CERTAIN IMPROVEMENTS AND/OR SERVICES PROVIDED IN FORT WORTH PUBLIC IMPROVEMENT DISTRICT NO. 1 DURING FISCAL YEAR 2019-2020;SETTING CHARGES AND LIENS AGAINST PROPERTY IN THE DISTRICT AND AGAINST THE OWNERS THEREOF; PROVIDING FOR THE COLLECTION OF SUCH ASSESSMENTS; RESERVING UNTO THE CITY COUNCIL THE RIGHT TO ALLOW CREDITS REDUCING THE AMOUNT OF THE RESPECTIVE ASSESSMENT TO THE EXTENT OF ANY CREDIT GRANTED;AND PROVIDING AN EFFECTIVE DATE. WHEREAS,the City Council of the City of Fort Worth,Texas,has heretofore directed that certain improvements and/or services (the "Improvements") shall be provided in the Fort Worth Public Improvement District No. 1 (the "District');and WHEREAS,the boundaries of the District are the area bounded by the Burlington Northern Santa Fe RR Tracks on east Weatherford Street, along Weatherford east to Nichols, north on Nichols to Belknap, west on Belknap to Grove, north on Grove to Bluff,west on Bluff to Cummings, north on Cummings to the Trinity River, South and West along the east shore of the Trinity River to Tenth Street,east on Tenth Street to Florence;south on Florence to Texas;east on Texas to the western boundary of the Tarrant County College District parking lot,south along the west boundary of the Tarrant County College District parking lot to the north curb of Lancaster Avenue, then east along the north curb of Lancaster Avenue on the south to the Burlington Northern Santa Fe tracks;then north along the Burlington Northern Santa Fe tracks until they intersect with Weatherford Street;and WHEREAS,the Improvements to be provided in Fiscal Year 2019-2020 and their estimated costs are as follows: Expenses Management Fee 4199790.00 Water 11,500.00 Utilities 4,000.00 Landscaping 195,000.00 Trash Removal 1,226,250.00 Holiday Light/Deco 50,000.00 Security 61,200.00 Ambassador Program 605,000.00 Communications/Newsletters 89000.00 Marketing&Research 372,670.00 Transportation&Planning 178,350.00 Annual review 15,000.00 City Administration Fee 63,421.00 Budgeted Expenses $392109181.00 The total budgeted costs of the Improvements and are $3,210,181.00. Of this amount, $2,662,740.00 will be funded by assessments collected on privately owned parcels located in the District. The remainder of the costs will be funded by other revenue sources,including: • $203,779.00 in direct payment from the City for payment in lieu of assessments as set out in Section 372.014(b) of the Texas Local Government Code,which will be appropriated from the General Fund balance by City Council Ordinance No.23777-08-2019 Page 1 of 4 action on August 27,2019; • $149,949.00 in direct payments from the City for payment in lieu of services,which will be appropriated from the General Fund balance by City Council action on August 27,2019; • $154,601.00 in revenues generated by District activities;and • $39,112.00 transferred from the unaudited,unassigned fund balance. WHEREAS, it is proposed that property in the District subject to assessment be assessed at a rate of$0.105 per each$100 of property value,as of January 1, 2019 and determined by the appraisal district with jurisdiction over property in the District;and WHEREAS, the Improvements and proposed assessments were previously presented in a public hearing conducted by the City Council on August 20,2019(M&C 13FMS PIDIFY20 BENEFIT)and the assessment roll has been on file in the office of the City Secretary for public inspection;and WHEREAS, the Improvements and proposed assessments were once again presented to the City Council in a public hearing conducted on the 27th day of August,2019,at 7:00 p.m.in the Council Chamber in the City Hall in the City of Fort Worth,Texas(the"Public Hearing"),notice of which was published and mailed to all record owners of property in the District,and at such hearing all desiring to be heard were given a full and fair opportunity to be heard; NOW,THEREFORE,BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS: SECTION 1. The Public Hearing is hereby closed and any and all protests and objections,whether herein enumerated or not, are hereby overruled. SECTION 2. The City Council,from all evidence before it,including all information provided to it and considered in the Public Hearing,finds that the assessments herein described should be made and levied against the respective parcels of property in the District and against the owners of such property. Such assessments and charges are right and proper and are substantially in proportion to the benefits to the respective parcels of property by means of the Improvements in the District for which such assessments are levied and establish substantial justice and equality and uniformity between all parties concerned, considering the benefits received and burdens imposed. The City Council further finds that in each case the property assessed is specially benefited in enhanced value to the said property by means of the Improvements in the District and for which assessment is levied and charge made, and further finds that the apportionment of the cost of the Improvements is in accordance with applicable law. The City Council,from the evidence,further finds that the values of the respective parcels of property on January 1,2019,are true and correct. SECTION 3. There shall be,and are hereby,levied and assessed against the parcels of property in the District,and against the real and true owners thereof(whether such owners be correctly named herein or not),the sums of money itemized per parcel of property,and the owners thereof,as far as such owners are known,at the following rate and method of payment:$0.105 per each$100 of value for property subject to assessment. SECTION 4. Where more than one person or entity owns an interest in any property described herein,each such person or entity shall be personally liable only for its,her or his pro rata share of the total assessment against such property in proportion to its, his, or her respective interest to the total ownership of such property, and its, his, or her respective interest in such property may be released from the assessment lien upon payment of a proportionate sum. Ordinance No.23777-08-2019 Page 2 of 4 SECTION 5. The several sums above mentioned and assessed against the said parcels of property, and owners thereof, and penalty and interest thereon at the rate prescribed by Chapter 372,Texas Local Government Code(the Public Improvement District Assessment Act),together with reasonable attorney's fees and cost of collection,if incurred,are hereby declared to be and are made a lien upon the respective parcels of property against which the same are assessed,and a personal liability and charge against the real and true owners of such property, whether such owners be correctly named herein or not,and such liens shall be and constitute the first enforceable lien and claim against the property on which such assessments are levied, and shall be a first and paramount lien thereon, superior to all other liens and claims,except state,county, school district and city ad valorem taxes.A copy of this ordinance may be filed with the County Clerk of Tarrant County,Texas, and when so filed shall constitute complete and adequate legal notice to the public concerning the liens hereby assessed against the respective parcels of property and the owners thereof. The sums so assessed against the respective parcels of property and the owners thereof shall be and become due and payable on or before January 31,2020,and shall become delinquent if not paid by February 1,2020.The entire amount assessed against each parcel of property shall bear penalty and interest,from and after February 1,2020 at the same rate as prescribed by law for any delinquent ad valorem tax until paid. SECTION 6. If default shall be made in the payment of any assessments, collection thereof shall be enforced by suit in any court of competent jurisdiction,and said City shall exercise all of its lawful powers to aid in the enforcement and collection of said assessments. SECTION 7. The total amount assessed against the respective parcels of property,and the owners thereof,is in accordance with the proceedings of the City hereto and is less than the proportion of the cost allowed and permitted by applicable law. SECTION 8. Although the aforementioned charges have been fixed,levied,and assessed in the respective amounts herein stated, the City Council does hereby reserve the right to reduce the aforementioned assessments by allowing credits to certain property owners where deemed appropriate and provided that any such allowance does not result in any inequity or unjust discrimination. SECTION 9. Full power to make and levy reassessments and to correct mistakes, errors, invalidities or irregularities in the assessments are,in accordance with the law in force in this City,vested in the City. SECTION 10. In any suit upon any assessment or reassessment, it shall be sufficient to allege the substance of the provision recited in this ordinance and that such recitals are in fact true, and further allegations with reference to the proceedings relating to such assessment and reassessment shall not be necessary. SECTION 11. Should any portion,section or part of a section of this Ordinance be declared invalid,inoperative,or void for any reason by a court of competent jurisdiction, such decision, opinion or judgment shall in no way impair the remaining portions,sections,or parts of sections of this Ordinance,which shall remain in full force and effect. SECTION 12. This Ordinance shall be cumulative of all other ordinances and appropriations amending the same except in those Ordinance No.23777-08-2019 Page 3 of 4 instances where the provisions of this Ordinance are in direct conflict with such other ordinances and appropriations, in which instance said conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed. SECTION 13. This Ordinance shall take effect and be in full force and effect from and after the date of its passage. AND IT IS SO ORDAINED. APPROVED AS TO FORM AND LEGALITY: AT Tyler F.Wallach ssist t City Attorney M J.Kayser,City SecretarU M&C: 19- Adopted and Effective: August 27,2019 .�XAS Ordinance No. cl-3` -1 -U 9 "ao I C4 Page 4 of 4 FORT WORTH Downtown Public Improvement District 2 I 8 t. a � •+war *.F � �., -�I�r, ,• � ,.� c r � 5 �. \ 4 1 .Y 4 -� ll5l WHITE SETTLEMENT- L / r ti 4 44. L r U . r „rt 10TH of 0 �► �, LL: 4 * I* TEXAS' + , 1'IT H ,y LANC' TER '-.. • - ~� I - " 'ram LEGEND PID 1 - DOWNTOWN '4L 0.125 0.25 0.5 Miles ra• r #� 1 , � Prepared on:August 19 2014 COPYRIGHT 2014 CITY OF FORT WORTH. UNAUTHORIZED REPRODUCTION IS A VIOLATION OF APPLICABLE LAWS. THIS PRODUCT IS FOR INFORMATIONAL PURPOSES AND MAY NOT HAVE BEEN PREPARED FOR OR BE SUITABLE FOR LEGAI ENGINEERING, OR SURVEYING PURPOSES.IT DOES NOT REPRESENTAN ON-THE-GROUND SURVEYAND PRESENTS ONLY THE APPROXIMATE RELATIVE LOCATION OF PROPERTY BOUNDARIES. THE CITY OF FORT WORTH ASSUMES NO RESPONSIBILITY FOR THE ACCURACY OF SAID DATA. FORT WORTH,,, City of Fort Worth Five Year Service Plan FY 2019-20- FY 2023-24 Public Improvement District No. 1 -Fort Worth In PROPOSED FIVE YEAR SERVICE PLAN FY19/20 FY20/21 FY21/22 FY22/23 FY23/24 REVENUES PID Assessments $2,662,740 $2,716,095 $2,770,417 $2,825,825 $2,882,342 COFW Assessment $203,779 $207,855 $212,012 $216,252 $220,577 COFW Payment in lieu of Services $149,949 $152,948 $156,007 $159,127 $162,310 PID Generated Revenue $154,601 $157,693 $160,847 $164,064 $167,345 Budget Revenues $3,171,069 $3,234,590 $3,299,282 $3,365,268 $3,432,573 Use of Fund Balance 39,112 64,692 65,986 67,305 68,651 Total Revenues $3,210,181 $3,299,282 $3,365,268 $3,432,573 $3,501,225 EXPENSES Management Fee 419,790 428,186 436,750 445,485 454,394 Water 11,500 11,730 11,965 12,204 12,448 Utilities 4,000 4,080 4,162 4,245 4,330 Landscaping 195,000 198,817 202,793 206,847 210,986 Trash Removal 1,226,250 1,263,173 1,288,436 1,314,205 1,340,489 Holiday Light/Deco 50,000 63,398 64,666 65,959 67,278 Security 61,200 62,515 63,765 65,042 66,341 Ambassador Program 605,000 617,191 629,535 642,127 654,968 Communications/Newsletters 8,000 8,160 8,323 8,490 8,659 Marketing & Research 372,670 380,123 387,726 395,480 403,390 Transportation & Planning 178,350 181,917 185,555 189,266 193,052 Annual Review 15,000 15,300 15,606 15,918 16,236 City Administrative Fee 63,421 64,692 65,986 67,305 68,652 Budget Expenses 3,210,181 3,299,282 3,365,268 3,432,573 3,501,225 Total Expenses $3,210,181 $3,299,282 $3,365,268 $3,432,573 $3,501,225 Submitted by Downtown Fort Worth, Inc. August 3,2017 City of Fort Worth, Texas Mayor and Council Communication DATE: 08/27/19 M&C FILE NUMBER: M&C 19-0104 LOG NAME: 13FMSPIDlFY20 SUBJECT Conduct Public Benefit Hearing for Public Improvement District 1 -Downtown,Approve Fiscal Year 2010,2020 Budget and Five-Year Service Plan in the Amount of$3,210,181,Approve Tax Year 2019 Assessment Roll,Adopt Ordinance Levying Special Assessments for the 2019 Tax Year at a Rate of$0.105 Per Each$100 of Property Value,Authorize Execution of an Agreement with Downtown Fort Worth,Inc.,in the Amount of$419,790 to Manage the PID,and Adopt Appropriation Ordinance(COUNCIL DISTRICT 9)(PUBLIC HEARING-a. Report of City Staff:Angela Estrada; b. Citizen Presentations;c.Council Action: Close Public Hearing and Approve the M&C) RECOMMENDATION: It is recommended that the City Council: 1. Conduct a public benefit hearing concerning the proposed special assessments on the property located in Public Improvement District 1 - Downtown for the 2019 tax year; 2. Approve the attached Fiscal Year 2019-2020 Budget in the amount of$3,210,181 and Five-Year Service Plan for Public Improvement District 1 - Downtown; 3. Approve the Tax Year 2019 Assessment Roll for Public Improvement District 1-Downtown,on file with the City Secretary; 4. Adopt the attached ordinance levying special assessments on the property located in Public Improvement District 1 -Downtown for the 2019 tax year at a rate of$0.105 per each$100 of property value; 5. Adopt the attached ordinance(1)increasing estimated receipts and appropriations in the Fort Worth Public Improvement District 1—Downtown Fund("Fund")in the amount of$3,171,069 from available funds,and(2)increasing appropriations in the Fund in the amount of$39,112 and reducing fund balance by the same amount;and 6. Authorize the execution of an Agreement with Downtown Fort Worth, Inc.,in the amount of$419,790.00 to provide management and improvement services for the Public Improvement District 1 -Downtown during Fiscal Year 2019-2020. DISCUSSION: On June 23,2009,the Mayor and City Council adopted Resolution No.3756-06-2009(M&C C-23627)re-establishing Fort Worth Public Improvement District 1 -Downtown(Downtown PID). The purpose of this benefit hearing is to receive comments from the public regarding the 2019-2020 Fiscal Year Budget and Five-Year Service Plan for the Downtown PID and the proposed assessments to be levied on each property in the Downtown PID for the 2019 tax year. Following the public hearing, it is recommended that the City Council take the following actions: (a)approve the attached Budget and Five-Year Service Plan; (b) approve the 2019 Assessment Roll; and(c)adopt the attached ordinances levying the proposed assessments and appropriating funds. On August 20,2019,the City Council conducted a public hearing(M&C 13FMS PID1 FY20 BENEFIT)to receive comments on the proposed 2019- 2020 Fiscal Year Budget, Five-Year Service Plan,and assessments for the Downtown PID. Notice of this benefit hearing was published in the Fort Worth Star-Telegram and mailed to all record owners of property in the Downtown PID,in accordance with state law. The improvements and services to be provided in the Downtown PID during the 2019-2020 Fiscal Year and the costs thereof are as follows: FY2019-2020 Bud et Management Fee 1419, 790 Water 11,500 Utilities 4,000 Landscaping 195,000 [Trash Removal 11,226,250 Holiday Lighting/Decorations 50,000 Security 61,200 Ambassador Program 605,000 Communications/Newsletters 8,000 Marketing&R .search 372,670 Transportation&Planning 11178,350 Annual Review 1115,000 City Administrative Fe 1163,421 Total Expenses 11$3,210,181 The total budgeted costs of the improvements and services are$3,210,181.00. Of this amount,$2,662,740 will be funded by assessments collected on privately owned parcels located in the Downtown PID by applying a rate of$0.105, representing a decrease of$0.01,to each$100 of property value.The remainder of the costs in the amount of$547,441 will be funded by other revenue sources including: (a)$203,779 in direct payments from the City for Payment In-Lieu of Assessments,(b)$149,949 in direct payments from the City for Payment In-Lieu of Services,(c) $154,601 in revenues generated by Downtown PID activities,and(d)$39,112 transferred from the unaudited,unassigned fund balance. For Fiscal Year 2019(tax year 2018),the Downtown PID levied an assessment rate of$0.115 per$100 of property value.The Downtown PID experienced growth in net taxable value equal to 14.5%,or$318,227,354 allowing for the assessment rate to be reduced by$0.01.Thus,the recommended Fiscal Year 2020(tax year 2019)assessment rate is$0.105 per each$100 of property value. Even with the lower assessment rate, revenue growth year over year is$109,679 or 4%. On August 20,2019,the City Council conducted a public hearing to receive comments on the proposed 2019-2020 Fiscal Year Budget, Five-Year Service Plan,and 2019 Assessments for the Downtown PID(M&C BH). Notice of the August 20,2019, benefit hearing and this hearing were published in the Fort Worth Star-Telegram on August 08,2019 and mailed to all record owners of property in the Downtown PID on August 07, 2019, in accordance with state law. The Downtown PID advisory board recommended approval of the budget. The Downtown PID is located in COUNCIL DISTRICT 9. FISCAL INFORMATION/CERTIFICATION: The Director of Finance certifies that upon approval of the above recommendations and the adoption of the Fiscal Year 2019-2020 Budget by the City Council,funds will be available in the Fiscal Year 2020 operating budget, as appropriated,of the Fort Worth Public Improvement District 1 - Downtown Fund. Submitted for City Manager's Office by: Kevin Gunn 2015 Originating Business Unit Head: Reginald Zeno 8517 Additional Information Contact: Angela Estrada 8511