HomeMy WebLinkAboutContract 54035 C��'SECRETARY54o`sL.�..__...
TAX
ABATEMENT AGREEMENT FOR PROPERTY LOCATED IN A NEIGHBORHOOD
EMPOWERMENT ZONE
o��oQ�P 912 East Vickery Boulevard
This TAX ABATEMENT AGREEMENT("Agreement")is entered into by and between the
CITY OF FORT WORTH,TEXAS(the"City"),a home rule municipal corporation organized under
the laws of the State of Texas and acting by and through David Cooke,its duly authorized City Manager,
and Keeton Industries, Inc., ("Owner") of property located at 912 East Vickery Boulevard, Lot 4R, 5
& 8, Block 4, J.L. Williams Addition, an addition to the City of Fort Worth, Tarrant County,
Texas according to the Plat recorded in Book 63,Page 16,of the Deed records, Tarrant County,Texas.
The City Council of the City of Fort Worth ("City Council") hereby finds and the City and
Owner hereby agree that the following statements are true and correct and constitute the basis upon
which the City and Owner have entered into this Agreement:
A. Chapter 378 of the Texas Local Government Code allows a municipality to create a
neighborhood empowerment zone if the municipality determines that the creation of the zone would
promote:
(1) the creation of affordable housing, including manufactured housing in the zone;
(2) an increase in economic development in the zone;
(3) an increase in the quality of social services, education, or public safety provided to
residents of the zone; or
(4) the rehabilitation of affordable housing in the zone.
B. Chapter 378 of the Texas Local Government Code provides that a municipality that
creates a neighborhood empowerment zone may enter into agreements abating municipal property
taxes on property in the zone.
C. On July 31, 2001, the City Council adopted basic incentives for property owners who
own property located in a Neighborhood Empowerment Zone, stating that the City elects to be eligible
to participate in tax abatement and including guidelines and criteria governing tax abatement
agreements entered into between the City and various third parties, titled "Neighborhood
Empowerment Zone "NEZ Basic Incentives" ("NEZ Incentives"), these were readopted on May 6,
2017 (Resolution No. 4782).
D. The NEZ Incentives contains appropriate guidelines and criteria governing tax
abatement agreements to be entered into by the City as contemplated by Chapter 312 of the Texas Tax
Code, as amended (the"Code").
E. On November 6,2012, the Fort Worth City Council adopted Ordinance No. 20487
(Readopted December 12, 2017, Ordinance No. 23049) (the "Ordinance") establishing
"Neighborhood Empowerment Reinvestment Zone No.4" City of Fort Worth,Texas(the"Zone")and
adopted Resolution No.4143 establishing"Designation of the Evans&Rosedale Area as a Neighborhood
Empowerment Zone" (the"NEZ").
F. Owner owns certain real property located entirely within the7FT.
hat is more
particularly described in Exhibit"I". attached hereto and hereby made a part oment for all
purposes (the "Premises").
TY SECRETARY'
�i
Page 1 of 13 RTH, 777,1� 9
NEZ Tax Abatement with Keeton Industries, Inc., 912 East Vickery B�uleyard_ y
Approved by M&C C-28994, January 15, 2019
G. Owner or its assigns plan to construct a commercial building for storage of materials,
more particularly described in Section 1.1 of this Agreement, on the Premises(the "Project").
H. On September 11, 2018, Owner submitted an application for tax abatement to the City
concerning the Premises(the"Application"), attached hereto as Exhibit"2"and hereby made a part of
this Agreement for all purposes.
I. The contemplated use of the Premises, the Required Improvements, as defined in
Section 1.1, and the terms of this Agreement are consistent with encouraging development of the Zone
in accordance with the purposes for its creation and are in compliance with the NEZ Incentives, the
Ordinance and other applicable laws, ordinances, rules and regulations.
J. The terms of this Agreement,and the Premises and Required Improvements, satisfy the
eligibility criteria of the NEZ Incentives.
K. Written notice that the City intends to enter into this Agreement has been furnished in
the manner prescribed by the Code to the presiding officers of the governing bodies of each of the taxing
units in which the Premises is located.
NOW, THEREFORE, the City and Owner, for and in consideration of the terms and
conditions set forth herein,do hereby contract, covenant and agree as follows:
1. OWNER'S COVENANTS.
I.I. Real Property Improvements.
Owner shall construct, or cause to be constructed, on and within the Premises certain
improvements consisting of a commercial building with approximately 10,440 total square feet
to use for storage of materials and having Construction Costs, excluding land,upon completion
of$774,845.00 including site development costs(collectively,the"Required Improvements")
but such Construction Costs shall be reduced by any construction cost savings. The type,
number and details of the Required Improvements are described in Exhibit "Y'. After
construction of the Required Improvements is complete Owner shall provide a copy of the final
construction invoices to City. The invoices shall then be attached and made a part of this
Agreement and shall be labeled Exhibit"4". Minor variations, and more substantial variations
if approved in writing by both of the parties to this Agreement, in the Required Improvements
from the description provided in Exhibit"Y shall not constitute an Event of Default, as defined
in Section 4.1,provided that the conditions in the first sentence of this Section 1.1 are met and
the Required Improvements are used for the purposes and in the manner described in Exhibit
«3„
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Approved by M&C C-28994, January 15, 2019
1.2. Construction Costs.
"Construction Costs" shall mean site development costs (including demolition and
environmental abatement), hard construction costs; contractor fees; engineering fees;
architectural fees; design and consulting fees; and development fee and permitting fees
expended by Owner directly in connection with construction of the Required Improvements.
The City recognizes that Owner will request bids and proposals from various contractors in
order to obtain the lowest reasonable price for the cost of the Required Improvements. In the
event that bids and proposals for the Required Improvements are below $774,845.00 in
Construction Costs for work substantially the same as that provided in Exhibit "3" and
otherwise described in this Agreement, the City will meet with Owner to negotiate in good
faith an amendment to this Agreement so that Owner is not in default for its failure to expend
at least $774,845.00 in Construction Costs, with the understanding that the City's staff will
recommend, but cannot guarantee, approval of such amendment by the City Council. The
final site plan shall be in substantially the same form as the site plan submitted and attached
as Exhibit "3". Minor variations, and more substantial variations if approved in writing by
both parties to this Agreement, in the Required Improvements from the description provided
in the Application for Tax Abatement shall not constitute an Event of Default, as defined in
Section 4.1, provided that the conditions in the first sentence of this Section 1.1 are met and
the Required Improvements are used for the purposes and in the manner described in Exhibit
"3"
1.3. Completion Date of Required Improvements.
Owner covenants to complete construction of all of the Required Improvements by
January 15, 2021, (the "Completion Deadline"). The abatement will automatically terminate
two years after Council approval if a building permit has not been issued and a foundation has
not been poured. The Required Improvements shall be deemed complete upon the issuance of a
final certificate of occupancy for the Required Improvements by the Planning and Development
Department. If the Owner fails to expend at least Seven Hundred Seventy Four Thousand,Eight
Hundred Forty Five Dollars ($774,845.00) in Construction Costs for the Required
Improvements by the Completion Deadline as provided in Section 1.1 of this agreement; the
City shall have the right to terminate this Agreement by providing written notice to the Owner
without further obligation to the Owner hereafter.
1.4. Use of Premises.
Owner covenants that the Required Improvements shall be constructed and the
Premises shall be continuously used as a storage facility for materials in accordance with the
description of the Project set forth in Exhibit "3". In addition, Owner covenants that
throughout the Term, the Required Improvements shall be operated and maintained for the
purposes set forth in this Agreement and in a manner that is consistent with the general
purposes of encouraging development or redevelopment of the Zone.
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2. ABATEMENT AMOUNTS, TERMS AND CONDITIONS.
Subject to and in accordance with this Agreement, the City hereby grants to Owner real
property tax abatement on the Premises, the Required Improvements, as specifically provided in this
Section 2 ("Abatement"). Abatement of real property taxes only includes City of Fort Worth-
imposed taxes and not taxes from other taxing entities.
2.1. Amount of Abatement.
The actual amount of the Abatement granted under this Agreement shall be based
upon the increase in value of the Required Improvements over their values as determined by
TAD in November 2018 on a separate TAD account, and this amount is $0.00:
One Hundred percent (100%) of the increase in value from the
construction of the Required Improvements.
If the square footage requirement and the appraised value of the Required
Improvements are less than as provided in Section 1.1 of this Agreement,except that such
minimum construction costs shall be reduced by construction cost savings, Owner shall
not be eligible to receive any Abatement under this Agreement.
2.2. Increase in Value.
The abatement shall apply only to taxes on the increase in value of the Premises due
to construction of the Required Improvements and shall not apply to taxes on the land, nor
shall the abatement apply to mineral interests.
2.3. Abatement Limitation.
Notwithstanding anything that may be interpreted to the contrary in this Agreement,
Owner's Abatement in any given year shall be based on the increase in value of the Required
Improvements over its value in November 2018, up to a maximum of$1,162,268.00. In other
words, by way of example only, if the increase in value of the Required Improvements over its
value in November 2018,in a given year is$1,200,000.00, Owner's Abatement for that tax year
shall be capped and calculated as if the appraised value of the Required Improvements for that
year had only been$1,162,268.00.
2.4. Protests Over Appraisals or Assessments.
Owner shall have the right to protest and contest any or all appraisals or assessments
of the Premises and/or improvements thereon.
2.5. Term.
The term of the Abatement(the"Term")shall begin on January I of the year following
the calendar year in which a final certificate of occupancy is issued for the Required
Improvements ("Beginning Date") and, unless sooner terminated as herein provided, shall
end on December 31 immediately preceding the fifth(5'h)anniversary of the Beginning Date.
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2.6. Abatement Application Fee.
The City acknowledges receipt from Owner of the required Abatement application fee
of one half of one percent (.5%) of Project's estimated cost, not to exceed $2,000. The
application fee shall not be credited or refunded to any party for any reason.
3. RECORDS,AUDITS AND EVALUATION OF PROJECT.
3.1. Inspection of Premises.
Between the execution date of this Agreement and the last day of the Term and for five
(5) years after termination("Compliance Auditing Term"), at any time during normal office
hours throughout the Term and the year following the Term and following reasonable notice to
Owner,the City shall have and Owner shall provide access to the Premises in order for the City
to inspect the Premises and evaluate the Required Improvements to ensure compliance with the
terms and conditions of this Agreement. Owner shall cooperate fully with the City during any
such inspection and/or evaluation.
3.2. Audits.
The City shall have the right to audit at the City's expense the financial and business
records of Owner that relate to the Project and Abatement terms and conditions (collectively,
the "Records") at any time during the Compliance Auditing Term in order to determine
compliance with this Agreement and to calculate the correct percentage of Abatement
available to Owner. Owner shall make all applicable Records available to the City on the
Premises or at another location in the City following reasonable advance notice by the City
and shall otherwise cooperate fully with the City during any audit.
3.3. Provision of Information.
On or before March 1 following the end of every year during the Compliance Auditing
Term and if requested by the City, Owner shall provide information and documentation for
the previous year that addresses Owner's compliance with each of the terms and conditions
of this Agreement for that calendar year. This information shall include, but not be limited
to, the number and dollar amounts of all construction contracts and subcontracts awarded on
the Project.
Failure to provide all information within the control of Owner required by this Section 3.3
shall constitute an Event of Default, as defined in Section 4.1.
3.4. Determination of Compliance.
On or before August 1 of each year during the Compliance Auditing Term, the City
shall make a decision and rule on the actual annual percentage of Abatement available to
Owner for the following year of the Term and shall notify Owner of such decision and ruling.
The actual percentage of the Abatement granted for a given year of the Term is therefore based
upon Owner's compliance with the terms and conditions of this Agreement during the
previous year of the Compliance Auditing Term.
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4. EVENTS OF DEFAULT.
4.1. Defined.
Unless otherwise specified herein, Owner shall be in default of this Agreement if(i)
Owner fails to construct the Required Improvements as defined in Section 1.1.; (ii) ad valorem
real property taxes with respect to the Premises or the Project, or its ad valorem taxes with
respect to the tangible personal property located on the Premises,become delinquent and Owner
does not timely and properly follow the legal procedures for protest and/or contest of any such
ad valorem real property or tangible personal property taxes or (iii) OWNER DOES NOT
COMPLY WITH CHAPTER 7 AND APPENDIX B OF THE CODE OF ORDINANCE
OF THE CITY OF FORT WORTH(collectively, each an"Event of Default").
4.2. Notice to Cure.
Subject to Section 5, if the City determines that an Event of Default has occurred, the
City shall provide a written notice to Owner that describes the nature of the Event of Default.
Owner shall have sixty(60)calendar days from the date of receipt of this written notice to fully
cure or have cured the Event of Default. If Owner reasonably believes that Owner will require
additional time to cure the Event of Default, Owner shall promptly notify the City in writing,in
which case (i) after advising the City Council in an open meeting of Owner's efforts and intent
to cure, Owner shall have ninety (90) calendar days from the original date of receipt of the
written notice, or (ii) if Owner reasonably believes that Owner will require more than ninety
(90) days to cure the Event of Default, after advising the City Council in an open meeting of
Owner's efforts and intent to cure, such additional time, if any, as may be offered by the City
Council in its sole discretion.
4.3. Termination for Event of Default and Payment of Liquidated Damages.
If an Event of Default, which is defined in Section 4.1, has not been cured within the
time frame specifically allowed under Section 4.2,the City shall have the right to terminate this
Agreement immediately. Owner acknowledges and agrees that an uncured Event of Default
will (i)harm the City's economic development and redevelopment efforts on the Premises and
in the vicinity of the Premises; (ii) require unplanned and expensive additional administrative
oversight and involvement by the City;and(iii)otherwise harm the City,and Owner agrees that
the amounts of actual damages there from are speculative in nature and will be difficult or
impossible to ascertain. Therefore, upon termination of this Agreement for any Event of
Default, Owner shall not be eligible for the Abatement for the remaining Term and Owner shall
pay the City, as liquidated damages, all taxes that were abated in accordance with this
Agreement for each year when an Event of Default existed and which otherwise would have
been paid to the City in the absence of this Agreement. The City and Owner agree that this
amount is a reasonable approximation of actual damages that the City will incur as a result of
an uncured Event of Default and that this Section 4.3 is intended to provide the City with
compensation for actual damages and is not a penalty. This amount may be recovered by the
City through adjustments made to Owner's ad valorem property tax appraisal by the appraisal
district that has jurisdiction over the Premises. Otherwise,this amount shall be due,owing and
paid to the City within sixty (60) days following the effective date of termination of this
Agreement. In the event that all or any portion of this amount is not paid to the City within sixty
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(60) days following the effective date of termination of this Agreement, Owner shall also be
liable for all penalties and interest on any outstanding amount at the statutory rate for delinquent
taxes, as determined by the Code at the time of the payment of such penalties and interest.
Notwithstanding anything herein to the contrary,damages due under this paragraph shall be the
sole responsibility of Keeton Industries, Inc.
4.4. Termination at Will.
If the City and Owner mutually determine that the development or use of the Premises
or the anticipated Required Improvements are no longer appropriate or feasible, or that a
higher or better use is preferable, the City and Owner may terminate this Agreement in a
written format that is signed by both parties. In this event, (i) if the Term has commenced,
the Term shall expire as of the effective date of the termination of this Agreement; (ii) there
shall be no recapture of any taxes previously abated; and (iii) neither parry shall have any
further rights or obligations hereunder.
4.5. Sexually oriented Business & Liquor Stores or Package Stores.
a. Owner understands and agrees the City has the right to terminate this
agreement if the Project contains or will contain a sexually oriented business.
b. Owner understands and agrees that the City has the right to terminate this
agreement as determined in City's sole discretion if the Project contains or will contain a
liquor store or package store.
5. EFFECT OF SALE OF PREMISES.
Owner may assign this Agreement and all or any portion of the benefits provided hereunder
to Keeton Industries, Inc., or an Affiliate without the consent of the City,provided that(i)prior to or
contemporaneously with the effectiveness of such assignment, Owner provides the City with written
notice of such assignment, which notice shall include the name of the Affiliate and a contact name,
address and telephone number, and (ii) the Affiliate agrees in writing to assume all terms and
conditions of Owner under this Agreement. For purposes of this Agreement, an"Affiliate" means all
entities, incorporated or otherwise, under common control with Owner, controlled by Owner or
controlling Owner. For purposes of this definition, "control" means fifty percent (50%) or more of
the ownership determined by either value or vote. Owner may not otherwise assign this Agreement
or any of the benefits provided hereunder to another party without the consent of the City Council,
which consent shall not unreasonably be withheld or delayed,provided that(i)the City Council finds
that the proposed assignee is financially capable of meeting the terms and conditions of this
Agreement and (ii) the proposed assignee agrees in writing to assume all terms and conditions of
Owner under this Agreement. Any attempted assignment without the City Council's prior written
consent shall constitute grounds for termination of this Agreement and the Abatement granted
hereunder following ten (10) calendar days of receipt of written notice from the City to Owner.
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NEZ Tax Abatement with Keeton Industries, Inc., 912 East Vickery Boulevard
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6. NOTICES.
All written notices called for or required by this Agreement shall be addressed to the following,
or such other party or address as either parry designates in writing, by certified mail, postage prepaid,
or by hand delivery:
City: Owner:
City of Fort Worth Keeton Industries, Inc.
Attn: City Manager 1421 NW 23`d Street
200 Texas Street Oklahoma City, OK 73106
Fort Worth, TX 76102
and
Neighborhood Services Department
Attn: Director
200 Texas Street
Fort Worth, TX 76102
7. MISCELLANEOUS.
7.1. Bonds.
The Required Improvements will not be financed by tax increment bonds. This
Agreement is subject to rights of holders of outstanding bonds of the City.
7.2. Conflicts of Interest.
Neither the Premises nor any of the Required Improvements covered by this
Agreement are owned or leased by any member of the City Council, any member of the City
Planning or Zoning Commission or any member of the governing body of any taxing units in
the Zone.
7.3. Conflicts Between Documents.
In the event of any conflict between the City's zoning ordinances, or other City
ordinances or regulations, and this Agreement, such ordinances or regulations shall control.
In the event of any conflict between the body of this Agreement and Exhibit"391, the body of
this Agreement shall control. As of January 15, 2019, the City is unaware of any conflicts
between this Agreement and the City's zoning ordinance or other ordinances or regulations.
7.4. Future Application.
A portion or all of the Premises and/or Required Improvements may be eligible for
complete or partial exemption from ad valorem taxes as a result of existing law or future
legislation. This Agreement shall not be construed as evidence that such exemptions do not
apply to the Premises and/or Required Improvements.
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NEZ Tax Abatement with Keeton Industries, Inc., 912 East Vickery Boulevard
Approved by M&C C-28994, January 15, 2019
7.5. City Council Authorization.
This Agreement was authorized by the City Council through approval Mayor and
Council Communication No. C-28994 on January 15, 2019, which, among other things,
authorized the City Manager to execute this Agreement on behalf of the City.
7.6. Estoppel Certificate.
Any party hereto may request an estoppel certificate from another party hereto so long
as the certificate is requested in connection with a bona fide business purpose. The certificate,
which if requested will be addressed to the Owner, shall include,but not necessarily be limited
to, statements that this Agreement is in full force and effect without default(or if an Event of
Default exists, the nature of the Event of Default and curative action taken and/or necessary
to effect a cure), the remaining term of this Agreement, the levels and remaining term of the
Abatement in effect, and such other matters reasonably requested by the party or parties to
receive the certificates.
7.7. Owner Standing.
Owner shall be deemed a proper and necessary party in any litigation questioning or
challenging the validity of this Agreement or any of the underlying laws, ordinances,
resolutions, or City Council actions authorizing this Agreement and Owner shall be entitled
to intervene in any such litigation.
7.8. Venue and Jurisdiction.
This Agreement shall be construed in accordance with the laws of the State of Texas
and applicable ordinances, rules, regulations, or policies of the City. Venue for any action
under this Agreement shall lie in the State District Court of Tarrant County, Texas. This
Agreement is performable in Tarrant County, Texas.
7.9. Severability.
If any provision of this Agreement is held to be invalid, illegal, or unenforceable, the
validity, legality and enforceability of the remaining provisions shall not in any way be
affected or impaired.
7.10. Headings Not Controlling.
Headings and titles used in this Agreement are for reference purposes only and shall
not be deemed a part of this Agreement.
7.11. Entirety of Agreement.
This Agreement, including any exhibits attached hereto and any documents
incorporated herein by reference, contains the entire understanding and agreement between
the City and Owner,their assigns and successors in interest,as to the matters contained herein.
Any prior or contemporaneous oral or written agreement is hereby declared null and void to
the extent in conflict with any provision of this Agreement. This Agreement shall not be
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Approved by M&C C-28994, January 15, 2019
amended unless executed in writing by both parties and approved by the City Council. This
Agreement may be executed in multiple counterparts, each of which shall be considered an
original, but all of which shall constitute one instrument.
(REMAINDER OF PAGE INTENTIONALLY BLANK)
Page 10 of 13
NEZ Tax Abatement with Keeton Industries, Inc., 912 East Vickery Boulevard
Approved by M&C C-28994, January 15, 2019
City of Fort Worth
By: C...L -- By: !n
Fernando Costa Peter DuncAA, Sr
Assistant City Manager President
ATTEST•
By._ Fr.
T ary Kaysil
Ci �'
ty Secret ' '$.= '
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APPROVED AS TO FORM AND LEGALITY:
By:
Melinda Ramos
Sr. Assistant City Attorney
M& C: C-28994 Q111 S 1 19
�� 1 aq5= aoi�l-�400�"I
LMYWORTM,
UA . RECORD
EC€1 •a
TX
Page 11 of 13
NEZ Tax Abatement with Keeton Industries, Inc., 912 East Vickery Boulevard
Approved by M&C C-28994, January 15, 2019
STATE OF TEXAS §
COUNTY OF TARRANT §
BEFORE ME, the undersigned authority, on this day personally appeared Fernando Costa,
Assistant City Manager of the CITY OF FORT WORTH, a municipal corporation, known to me to
be the person and officer whose name is subscribed to the foregoing instrument, and acknowledged
to me that the same was the act of the said CITY OF FORT WORTH, TEXAS, a municipal
corporation, that he was duly authorized to perform the same by appropriate resolution of the City
Council of the City of Fort Worth and that he executed the same as the act of the said City for the
purposes and consideration therein expressed and in the capacity therein stated.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of
flM4� , 20.
I.
=' 2256490 s #= �"
Not Public in and for My Notary ID I�v,'��rF�• Expires December 19,2021
the State of Texas I °F
STATE OF dhlJ Ao §
COUNTY OF 0 4 §
BEFORE ME,the undersigned authority, on this day personally appeared Peter Duncan Sr,President
of Keeton Industries, Inc., known to me to be the person whose name is subscribed to the foregoing
instrument, and acknowledged to me that he executed the same for the purposes and consideration
therein expressed, in the capacity therein stated for Keeton Industries, Inc.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this day of
VAh, , 2019.
L NA
ve
Notary Public in and fo � P.oe ero2nzQ:
The State of (' w� '9 .Aye �cJ�o�
aR a aP� RECORD
rMY SECRETARY
C, F7'.. 'ORTH,TX
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Approved by M&C C-28994, January 15, 2019
Exhibit 1: Property Description
Exhibit 2: Application: (NEZ) Incentives and Tax Abatement
Exhibit 3: Project description
Exhibit 4: Final Construction Invoices (to be attached after construction)
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NEZ Tax Abatement with Keeton Industries, Inc., 912 East Vickery Boulevard
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Exhibit 1
Property Legal Description
912 East Vickery Boulevard,Lot 4R, 5 & 8, Block 4,J.L. Williams Addition,an addition to
the City of Fort Worth, Tarrant County, Texas according to the Plat recorded in Book 63,
Page 16, of the Deed records, Tarrant County, Texas.
Exhibit 2
FORT WORTH® Application No. 2 Z�
City of Fort Worth
Neighborhood Empowerment Zone(NEZ)Application for Basic Incentives
Applicaht Information
I . 11
Property Owner: ksnn
Last First M.1.Address: 1-{at t-,�\ � C�
e, � rce-C ��\n11 i�,& CAA
StreetAddress City State Zip
Phone: C4p5�rJ oZ�-� �c� Email: I eoAwy t&n-71k 0 A0k.Loy) .
Contact: il'1akw 4
(If differeno Last First M.1.
Phone: IP_1$2- 019 I Email: m b w e n q � C oy'rj oi� Ic . c,o rn
. -
-dt Information
NEZ certifications are project specific.Please describe your project: L)oce Le- S ai p f Ay
❑ ❑ ❑ ❑ ❑
Single Family Multi-Family Commercial Industrial Community Facilities Mixed-USe
Project Address: 91Z E. V igk t,(-v AvC Fr Waf-Td, 1-x -7 416y
StreetAddress
Legal Description: L-r ya! 5 4') �V 13 L K y 3 ITT 5 R Bt x j 7•i-.vJ;l l.a m
Lot Block Addition
YES NO YES NO
New Construction/Addition: ❑ Remodel/Rehab: ❑ 'X
Total New Sq.Ft. 10 +40 Total Development Cost:
YIE�S NO
Will the NEZ certified property be occupied by the property owner?
If your project is a Mixed Use project,please list all specific uses that are being proposed:
Incentives
YE Q NO
Do you wish to apply for a Municipal Property Tax abatement for this project? X ❑
If the above answer is yes,please contact the City of Fort Worth Neighborhood Services Department at
(817)392-7316 or visit htty:://fod"rthtexas. ov/neia hborhoods/NEZJ for additional information.
NO
Do you wish to apply for a release of certain City liens? ❑
Weed,Paving,Demolition and Board Up/Open Structure liens may be released
ZoningFor Office Use •
YES NO
Will a Zoning Change applicati n be necessary for this project? ❑
Signature of Zoning Staff: Date:
Revised 05/2016 JLE
FORT WORTH. Application No. 11 D DlD�a D
City of Fort Worth
Neighborhood Empowerment Zone (NEZ) Application for Basic Incentives
Acknowledgements
I hereby certify that the information provided is true and accurate to the best of my knowledge.
I hereby acknowledge that I have read the NEZ Basic Incentives,which governs the granting of tax abatements,fee
waivers and release of City Bens, and that any VIOLATION of the terms of the NEZ Basic Incentives or
MISREPRESENTATION shall constitute grounds for rejection of an application or termination of incentives at the
discretion of the City.
I understand that the approval of fee waivers and other incentives shall not be deemed to be approval of any aspect
of the project. I understand that I am responsible for obtaining required permits and inspections from the City and
in ensuring the project is located in the correct zoning district.
I understand that my application will not be processed if it is incomplete. If the application is not complete within
30 days, it will be withdrawn and application fees paid will not be reimbursed. I agree to provide any additional
information for determining eligibility as requested by the City.
I understand that if there are taxes due or liens against any property owned in the City of Fort Worth I may not be
eligible for NEZ basic incentives.
I understand that I must pay all associated fees at the time of project application and/or permit submittal if I wish
to submit permits prior to determination of NEZ eligibility.
I understand that some permits may not be issued while/9 eligibility is being established.
i_1ND�,1,>u[vCW
Printed Name of Property Owner Signature of Property Owner Date
Please mail,a-Mail or bring your completed application to:
City of Fort Worth Planning and Development Department
1000 Throckmorton Street,Fort Worth,Texas 76102
E-Mail:DevNezProgram@fortworthtexas.gov
An electronic version of this form is available on our website.For more information on the NEZ Program for
Basic Incentives, please visit our web site at hn://fortworthtexas.gov/neil hborhoods/NEZ/or contact our office
at(817)392-2222 or DevNezProgram@fo►Lworthtexas.gov.
For more infonnation on Tax Abatements,see the above website or contact Neighborhood Services at
(817)392-7316.
For Planning . Development Office Use Only
YES NO
Project certified for NEZ Basic Incentives: ❑ ❑ If yes,Certified By:
If not certified,reason for denial:
Revised 05/2016 JLE
Exhibit 3
Project Description
• (1) 1 Story Building designed & utilized for Self-Storage with approximately
10,440 Gross Square Feet. Inside the building addressed as #912 will be a
required restroom, and a room for mechanical equipment the rest of
the building will be used for storage of the ticking materials. The building will
have 2 man doors for ingress/egress and 4 rollup doors for material delivery.
• All paving and parking areas will be concrete and will maintain drive aisles from
Vickery Blvd to Daggett Ave.
• Project construction will include all required sewer, water, fire, and electrical
services to properly serve the building.
• Building type will be metal frame and will comply with masonry
requirements per applicable codes along with privacy screen as identified
on plans submitted to the city.
• Abundant landscape and tree plan has been approved by the City's Urban
Forestry department.
Exhibit 4
Final Construction Invoices
Will be provided to City after construction is complete and final Certificate of
Occupancy is issued.
M&C ReAew
Official
CITY COUNCIL AGENDA FURT WO R T I I
COUNCIL ACTION: Approved on 1/15/2019
DATE: 1/15/2019N RE :FERENCE C-28994 LOG NAME: 19912EVICKERYBOULEVARD
CODE: C TYPE: NOW PUBLIC NO
CONSENT HEARING:
SUBJECT: Authorize Execution of a Five-Year Tax Abatement Agreement with Keeton Industries,
Inc., for the Construction of a Commercial Building for Storage of Materials at 912 E.
Vickery Boulevard in the Evans and Rosedale Neighborhood Empowerment Zone
(COUNCIL DISTRICT 8)
RECOMMENDATION:
It is recommended that the City Council authorize the execution of a Five-Year Tax Abatement
Agreement with Keeton Industries, Inc., for the construction of a commercial building for storage of
materials at 912 E. Vickery Boulevard in the Evans and Rosedale Neighborhood Empowerment
Zone, in accordance with the Neighborhood Empowerment Zone Tax Abatement Policy and Basic
Incentives.
DISCUSSION:
Keeton Industries, Inc. (Property Owner) is the owner of the property described as Block 4, Lots
4R, 5 and 8, J.L. Williams Addition to the City of Fort Worth, Tarrant County, Texas, according to
Plat recorded in Book 63, Page 16, Deed Records Tarrant County, Texas at 912 E. Vickery
Boulevard, Fort Worth, Texas. The property is located within the Evans and Rosedale
Neighborhood Empowerment Zone (NEZ).
The Property Owner plans to invest an estimated amount of$774,845.00 to construct a commercial
building for storage of materials with approximately 10,440 square feet (Project). The
Neighborhood Services Department reviewed the application and certified that the Property Owner
and Project met the eligibility criteria to receive a NEZ Municipal Property Tax Abatement. The
NEZ Basic Incentives includes a five-year Municipal Property Tax Abatement on the increased
value of improvements to the qualified owner of any new construction or rehabilitation within the
NEZ.
Upon execution of the Agreement, the total assessed value of the improvements used for
calculating municipal property tax will be frozen for a period of five years starting January 2020 at
the estimated pre-improvement value as defined by the Tarrant Appraisal District (TAD) in
November 2018 on a separate account for the property as follows:
Pre-Improvement TAD Value of Improvements $ 0.00
Pre-Improvement Estimated Value of Land $43,015.00
Total Pre-Improvement Estimated ValueIF $43,015.00
The municipal property tax on the improved value of Project after construction is estimated in the
http://apps.cfwnet.org/council_packet/mc_review.asp?ID=26573&councildate=1/15/2019[1/26/2019 2:58:06 PM]
M&C Review
amount of$6,083.00 per year for a total amount of$30,415.00 over the five-year period. However,
this estimate may differ from the actual tax abatement value, which will be calculated based on the
Tarrant Appraisal District appraised value of the property.
The Tax Abatement Agreement may be assigned to an affiliate of the property owner without
formal consent of the City Council. If the property is sold to a new owner, other than an affiliate,
the Agreement may be assigned only with City Council approval and provided that the new owner
meets all of the eligibility criteria as stated in the NEZ Tax Abatement Policy and Basic Incentives.
This property is located in COUNCIL DISTRICT 8.
FISCAL INFORMATIONXERTIFICATION:
The Director of Finance certifies that upon approval of the above recommendations approximately
$30,415.00 in property taxes will be abated over the five-year period from 2020-2024. This revenue
loss will be incorporated into the City's five-year financial forecast.
TO
Fund Department Account Project Program Activity Budget Reference# Amount
ID ID Year (Chartfield 2)
FROM
Fund Department Account Project Program Activity Budget Reference# Amount
ID ID Year (Chartfield 2)
Submitted for City Manager's Office by: Fernando Costa (6122)
Originating Department Head: Aubrey Thagard (8187)
Additional Information Contact: Sarah Odle (7316)
ATTACHMENTS
912 E. Vickery Map for Council.pdf
Elevations.pdf
REVISED FORM 1295 19912 E Vickerv.adf
Site Plan.pdf
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