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HomeMy WebLinkAboutResolution 3947-12-2010 A Resolution NO. 3947-12-2010 BOUNDARY REVISION OF THE MAGNOLIA VILLAGE NEIGHBORHOOD EMPOWERMENT ZONE WHEREAS, on April 25, 2000 the City of Fort Worth City Council ("Council") approved a Policy Statement on the Creation of Local Neighborhood Empowerment Zones; and WHEREAS, on October 3, 2000 the Council approved the criteria to determine whether an area would be eligible to be designated as a Neighborhood Empowerment Zone (NEZ); and WHEREAS, on November 26, 2002, the Council approved the creation of the Magnolia Village NEZ and Fort Worth Neighborhood Empowerment Reinvestment Zone (FWNERZ) No. 5; and WHEREAS, it is being proposed that the Magnolia Village NEZ be revised as shown on Exhibit A; and WHEREAS, the Council finds that the revision of the Magnolia Village NEZ: (1) would promote the creation or rehabilitation of affordable housing in the zone and an increase in economic development in the zone, and (2) is 100% within the Central City and 95% within the Community Development Block Grant eligible area; and WHEREAS, the Council finds that the creation of the Magnolia Village NEZ benefits and is for the public purpose of increasing public health, safety and welfare; and WHEREAS, the council finds that the Magnolia Village NEZ satisfies the requirements of Section 312.02 of the Tax Code; and WHEREAS, the Council finds that the proposed revision of the Magnolia Village NEZ meets the criteria for NEZ designation. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH, TEXAS: Section 1. The facts and recitations contained in the preamble of this Resolution are hereby found and declared to be true and correct. Section 2. The Magnolia Village NEZ is hereby revised as set forth in Exhibit A, Magnolia Village Neighborhood Empowerment Zone & Magnolia Village Neighborhood F&TWOUH RESOLUTION NO. 3947-12-2010 Empowerment Reinvestment Zone No. 5R. Section 3. The Council adopts all basic incentives as described in the Neighborhood Empowerment Zone Basic Incentives (M&C G-16572) and as amended for the Magnolia Village NEZ area boundary revision. Section 4. The designation shall expire on December 6, 2020. Adopted this 7th day of December 2010. ATTEST: APPROVED CITY COUNCIL By: ---- --- -- - Marty Hendrix, City Secretary DEC 0 7 2010 City Secretary of the City of Fort Worth.Texas FoRTWORTH RESOLUTION NO. 3947-12-2010 EXHIBIT A MAGNOLIA VILLAGE NEIGHBORHOOD EMPOWERMENT ZONE &MAGNOLIA VILLAGE NEIGHBORHOOD EMPOWERMENT REINVESTMENT ZONE No.5R GENERAL DESCRIPTION The area to be designated as Fort Worth Neighborhood Empowerment Reinvestment Zone No. 5R for tax abatement purposes contains 1. 5 square miles of land and is within the area described by bounds below: Beginning at the intersection of Henderson Street and the back of the north walk of the eastbound service road of Interstate 30 West; Thence east along the back of the north walk of the eastbound service road of Interstate 30 West, to its intersection with the Union Pacific Rail Road; Thence south with said railroad to its intersection with Page Street; Thence west with said Street, to its intersection with Lipscomb Street; Thence north with said Street, to its intersection with Richmond Avenue; Thence west with said Avenue, to its intersection with Henderson Street; Thence north with said Street, to its intersection with Richmond Avenue; Thence west with said Avenue, to its intersection with 5th Avenue; Thence north with said Avenue, to its intersection with Park Place; Thence west with Park Place, to its intersection with 6th Avenue; Thence north with said Avenue, to its intersection with Allen Avenue; Thence west with said Avenue, to its intersection with 8th Avenue; Thence north with said Avenue, to its intersection with Mistletoe Boulevard; Thence west with said Boulevard, to its intersection with Beckham Place; Thence northeast with Beckham Park Place, to its intersection with 12th Avenue; Thence north with said Avenue, to its intersection with Rosedale Street; Thence east with said Street, to its intersection with Henderson Street; Thence north with said Street, to its intersection with Dashwood Street; Thence east with said Street, to its intersection with College Avenue; Thence north with said Avenue, to its intersection with Cannon Street; RESOLUTION NO. 3947-12-2010 Thence west with said Street, to its intersection with Henderson Street; Thence north with said Street, to the Place of Beginning, and containing some 1.5 square miles of land, more or less. 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No. 19463-12- ' - 2010 DATE: Tuesday, December 07, 2010 REFERENCE NO.: G-17137 LOG NAME: 17NEZMAGNOLIAREVISE SUBJECT: Conduct a Public Hearing, Adopt a Resolution Designating the Magnolia Village Area as a Neighborhood Empowerment Zone and Adopt an Ordinance for Boundary Change and Designating the Magnolia Village Area as a Neighborhood Empowerment Zone and Fort Worth Neighborhood Empowerment Reinvestment Zone No. 5R (COUNCIL DISTRICT 9) RECOMMENDATION: It is recommended that the City Council: 1. Adopt the attached Resolution to designate the revised Magnolia Village area as a Neighborhood Empowerment Zone; and 2. Conduct a public hearing concerning the designation of the revised Magnolia Village area as Fort Worth Neighborhood Empowerment Reinvestment Zone No. 5R; and 3. Adopt an ordinance to designate the Magnolia Village area as Fort Worth Neighborhood Empowerment Reinvestment Zone No. 5R pursuant to the Texas Property Redevelopment and Tax Abatement Act, Tax Code, Chapter 312. DISCUSSION: On November 26, 2002, the City Council approved M&C G-13814, which adopted Resolution No. 2893 to designate the Magnolia Village area as a Neighborhood Empowerment Zone (NEZ) and adopted Ordinance No. 15343 which designated Fort Worth Neighborhood Empowerment Reinvestment Zone (FWNERZ) No. 5. Staff recommends amending the boundary to include property on South Hemphill in order to stimulate development in the Hemphill Corridor. The revised Magnolia Village NEZ area was presented to the Housing and Economic Development Committee at the June 8, 2010 meeting and the Housing and Economic Development Department was directed to move forward. The proposed revised Magnolia Village NEZ has a population of 6,453 persons and an area of 1.5 square miles. The proposed revised Magnolia Village NEZ meets the following designation requirements under the City's NEZ policy: • Promotes economic development; • Has a total area of no more than 1.5 square miles; Logname: 17NEZMAGNOLIAREVISE Page I of 2 • The proposed revised Magnolia Village NEZ area is 100 percent within the Central City and 95 percent within the Community Development Block Grant eligible areas; and • Meets criteria for Reinvestment Zone designation 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 area and that would contribute to the economic development of the City. The revised Magnolia Village NEZ area, therefore, meets all the requirements for NEZ designation One of the incentives a municipality can provide in a NEZ according to Chapter 378 of the Texas Local Government Code is an abatement of municipal property taxes for properties in the NEZ. In order to accomplish this, the revised Magnolia Village area would need to be designated as a reinvestment zone. The Texas Property Redevelopment and Tax Abatement Act(the Act) requires a public hearing. Notice of the public hearing was (1) delivered to the governing body of each affected taxing unit, and (2) published in the newspaper at least seven days prior to the public meeting. The Act requires the property receiving an abatement to be located in a reinvestment or enterprise zone. The proposed area meets the criteria for the designation of a reinvestment zone because 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 contribute to the economic development of the municipality. Further, future improvements in the zone will be a benefit to the City after any tax abatement agreements have expired. The designation of a reinvestment zone expires after five years and may be renewed for periods not to exceed five years. The current revised Magnolia Village NEZ area is located in COUNCIL DISTRICT 9. FISCAL INFORMATION /CERTIFICATION: The Financial Management Services Director certifies that this action will have no material effect on City funds. FUND CENTERS: TO Fu nd/Accou nt/C enters FROM Fund/Account/Centers CERTIFICATIONS: Submitted for City Manager's Office bT. Susan Alanis (8180) Originating Department Head: Jay Chapa (5804) Additional Information Contact: Sarah Odle (7316) Logname: 17NEZMAGNOLIAREVISE Page 2 of 2