HomeMy WebLinkAboutResolution 5224-05-2020 A Resolution
NO. 5224-05-2020
AFFIRMING THE CITY OF FORT WORTH'S SUPPORT OF ALCON VISION, LLC'S
TEXAS ENTERPRISE PROJECT ASSIGNMENT APPLICATION TO THE OFFICE OF
THE GOVERNOR ECONOMIC DEVELOPMENT AND TOURISM THROUGH THE
ECONOMIC DEVELOPMENT BANK, AND PROVIDING THAT THIS RESOLUTION
SHALL BECOME EFFECTIVE FROM AND AFTER ITS PASSAGE AND ADOPTION.
WHEREAS, on November 4, 2003 the City Council of the City of Fort Worth (the "City") previously adopted
Ordinance No. 15733 electing to participate in the Texas Enterprise Zone Program; and
WHEREAS, on May 12, 2015 the City Council of the City adopted Ordinance No. 2 1 743-05-20 1 5 amending
Ordinance No. 15733 by adding additional potential local incentives that could be made available to qualified
businesses under the Texas Enterprise Zone Program; and the local incentives available pursuant to this Resolution
are the same on this date as were outlined in Ordinance No. 21743-05-2015; and
WHEREAS, the City Council of the City has previously passed Resolution No. 4699-11-2016 nominating Alcon
Laboratories,Inc.for enterprise project status;
WHEREAS, the Office of the Governor, Economic Development and Tourism (EDC), through the Economic
Development Bank("Bank"),approved Alcon Laboratories,Inc.as an enterprise project pursuant to a nomination
and an application made by the City on December 1,2016; and
WHEREAS, the City desires to approve the assignment of the Alcon Laboratories,Inc.enterprise project status
to Alcon Vision,LLC;
WHEREAS, the City desires to pursue the creation of the proper economic and social environment in order to
induce the investment of private resources in productive business enterprises located in the City and to provide
employment to residents of enterprise zones and to other economically disadvantaged individuals,or veterans; and
WHEREAS,pursuant to Chapter 2303, Subchapter F of the Texas Enterprise Zone Act, Texas Government Code
(the"Act"), Alcon Vision,LLC has applied to the City for assignment of enterprise project status; and
WHEREAS, the City finds Alcon Vision, LLC meets the criteria for assumption of the Alcon Laboratories, Inc.
enterprise project designation under Chapter 2303, Subchapter F of the Act on the following grounds:
1. Alcon Vision, LLC is a "qualified business" under Section 2303.402 of the Act since it will be
engaged in the active conduct of a trade or business at a continuing qualified business site within the
governing body's jurisdiction located inside an enterprise zone, and at least twenty-five percent(25%) of
the business's new permanent jobs will continue to be residents of an enterprise zone, economically
disadvantaged individuals or veterans; and
2. There has been and will continue to be a high level of cooperation between public, private, and
neighborhood entities within the area; and
3. The assignment of enterprise project status to Alcon Vision, LLC will continue a significant
contribution to the achievement of the plans of the City for development and revitalization of the area; and
WHEREAS,the City finds that Alcon Vision,LLC meets the criteria for tax relief and other incentives adopted
by the City and approves the assignment of enterprise project status from Alcon Laboratories, Inc. to Alcon
Vision, LLC on the grounds that it will be located at the qualified business site, will create a higher level of
employment, economic activity and stability; and
WHEREAS,the City finds that it is in the best interest of the City to assign enterprise project status from Alcon
Laboratories,Inc.to Alcon Vision,LLC as an enterprise project pursuant to the Act;
NOW,THEREFORE,BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FORT WORTH,
TEXAS:
1. THAT the findings of the City and its actions approving this Resolution taken at the Council
meeting are hereby approved and adopted.
2. THAT Alcon Vision, LLC is a "qualified business," as defined in Section 2303.402 of the Act,
and meets the criteria for designation as an enterprise project, as set forth in Section 2303,
Subchapter F of the Act.
3. THAT the assignment of enterprise project status shall take effect on the date of designation of the
enterprise project by the Bank and terminate on December 1,2021.
ADOPTED AND EFFECTIVE: May 5. 2020
FORT '
ATTEST:
By:
Maiy J.KayserIJ 11
City Secretary
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City of Fort Worth, Texas
Mayor and Council Communication
DATE: 05/05/20 M&C FILE NUMBER: M&C 20-0281
LOG NAME: 17ALCONEZ ASSIGNMENT
SUBJECT
Adopt Resolution Affirming Alcon Laboratories, Inc., Located at 6201 South Freeway as an Enterprise Project, Pursuant to the Texas Enterprise
Zone Act,Chapter 2303 of the Texas Government Code and Assign the Enterprise Project Status from Alcon Laboratories, Inc.to Alcon Vision,
LLC(COUNCIL DISTRICT 8)
RECOMMENDATION:
It is recommended that the City Council adopt the attached Resolution affirming Alcon Laboratories, Inc.,as an Enterprise Project, pursuant to
Chapter 2303 of the Texas Government Code and Assign the enterprise project status from Alcon Laboratories, Inc.to Alcon Vision,
LLC(COUNCIL DISTRICT 8)
DISCUSSION:
On November 15,2016 the City Council approved Resolution No.4699-11-2016(M&C G-18880)to nominate Alcon Laboratories, Inc. (Alcon)as
an Enterprise Zone project,pursuant to Chapter 2303 of the Texas Code.At the time,Alcon had anticipated investing approximately
$78,400,000.00 in a"Campus Revitalization Project"at its existing campus located at 6201 South Freeway.The investment was to
include$71,800,000.00 to be spent on real property improvements,including over$16,000,000.00 in the redesign and restoration of existing R&D
and manufacturing space,and$6.6 million anticipated to be spent on machinery,equipment and telecommunication equipment.Alcon reports
that virtually all of the capital investment outlined in the December 2016 project application has been completed.The company expected to retain
its workforce of 1,469 total employees and create an additional 100 full-time jobs,with an average annual salary of$89,994.00.Alcon reports
1,100+employees at the facility.
The City Council previously adopted Ordinance No. 15733(M&C G-14137), under which the City has elected to participate in the Texas Enterprise
Zone Program.The City Council subsequently amended Ordinance No. 15733 on May 12,2015 to update the list of potential local incentives that
may be provided to a project on a case-by-case basis(Ordinance No.21743-05-2015,M&C G-18473).The Office of the Governor, Economic
Development and Tourism through the Economic Development Bank will consider Alcon as an Enterprise Project, pursuant to a nomination and an
application made by the City.The Texas Enterprise Zone Program allows the City to pursue its goal of inducing the investment of private resources
in productive business enterprises and provide employment to residents of enterprise zones and other economically disadvantaged individuals or
veterans.
The attached Resolution assigns the enterprise project status to Alcon Vision, LLC and affirms the City Council's finding that Alcon Vision, LLC
meets the criteria for designation as an Enterprise Project, under Chapter 2303,Subchapter F of the Act on the following grounds:
1.Alcon is a"qualified business,"under Section 2303.402 of the Act,since it will be engaged in the active conduct of a trade or business at a
qualified business site within the governing body's jurisdiction located within an enterprise zone and at least 25 percent of the business'new or
retained employees will be residents of an enterprise zone,economically disadvantaged individuals or veterans;
2.There has been,and will continue to be,a high level of cooperation between public, private and neighborhood entities within the area;and
3.The assignment of enterprise project status to Alcon Vision, LLC will continue a significant contribution to the achievement of the plans of the
City for development and revitalization of the area.
This project is located in COUNCIL DISTRICT 8.
A Form 1295 is not required because: This M&C does not request approval of a contract with a business entity.
FISCAL INFORMATION/CERTIFICATION:
The Director of Finance certifies that approval of the above recommendation will have no material effect on City funds.
Submitted for City Manager's Office by: Jay Chapa 5804
Originating Business Unit Head: Robert Sturns 2663
Additional Information Contact: Brenda Hicks-Sorensen 2606