HomeMy WebLinkAboutIR 8679INFORMAL REPORT TO CITY COUNCIL MEMBERS
To the Mayor and Members of the City Council April 12, 2005
T >° Page 1 of 2
SUBJECT: AMENDING THE PROJECT AND FINANCING PLANS FOR TAX
,;;, INCREMENT REINVESTMENT ZONE NUMBER SEVEN (NORTH TARRANT
PARKWAY TIF) FOR REGIONAL INFRASTRUCTURE IMPROVEMENTS
Background. The purpose of this Informal Report is to present a summary of events that have
occurred and that will occur, leading to the City Council's consideration of amending the Project and
Financing Plans for Tax Increment Reinvestment Zone Number Seven, City of Fort Worth, Texas
(North Tarrant Parkway TIF).
The City of Fort Worth, the Texas Department of Transportation, and the federal government have
collaborated on the construction of public roads; including, the North Tarrant Parkway/Hi -35W
interchange, ramps, and frontage roads, and the connecting road (North Tarrant Parkway) from IH -35W
east to U.S. 377.
A Community Development Agreement between the City and AIL Investment, L.P. was approved May 27,
2003, (City Secretary Contract No. 28858, M &C C- 19603), which allows AIL Investment, L.P. to pay a
portion of the City's share of the costs related to the construction of the North Tarrant Parkway/IH -35W
interchange and North Tarrant Parkway from IH -35W to Rainy Lake Road and to be reimbursed for such
costs plus 4% interest from the tax increment of a tax increment reinvestment zone. The total cost share
for the construction of the improvements is as follows:
City of Fort Worth $ 5,809,394
Texas Department of Transportation $ 2,445,357
Federal $11,074,217
Total Cost of Improvements $19,328,968
Creation of the North Tarrant Parkway TIF: On December 9, 2003, the City Council approved Ordinance
Number 15774, which designated Tax Increment Reinvestment Zone Number Seven, City of Fort Worth,
Texas (North Tarrant Parkway TIF). The Preliminary Project and Financing Plans anticipated TIF
participation would be used as the source of funds to repay the estimated $4.6 million "loan" plus interest
from the developer on behalf of the City. The TIF revenue would pay for the costs associated with the
construction of the North Tarrant Parkway interchange, ramps, and frontage roads, and the connecting road
(North Tarrant Parkway) from IH -35W east to Rainy Lake Road. These are the only projects included in
the Preliminary Project Plan.
Proposed Amendment to the TIF Project and Finance Plans: After adopting the Preliminary Project Plan
and Financing Plan for the North Tarrant Parkway TIF, the Board of Directors of the North Tarrant
Parkway TIF, met several times to consider requests to amend the Project and Financing Plan. After
significant discussion, the Board approved amending the Project Plan to include a project line item for
priority, regional transportation facilities. Priority, regional transportation facilities would include
principal /major arterials, interchanges, and large bridges that:
1) benefit the TIF,
2) are needed within the life of the TIF, and
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS
No. 8679
To the Mayor and Members of the City Council April 12, 2005
�'''"Tf"'� Page 2 of 2
s
SUBJECT: AMENDING THE PROJECT AND FINANCING PLANS FOR TAX
INCREMENT REINVESTMENT ZONE NUMBER SEVEN (NORTH TARRANT
PARKWAY TIF) FOR REGIONAL INFRASTRUCTURE IMPROVEMENTS
3) that will be constructed by a developer who will provide all necessary upfront funding. The
developer would be eligible to be reimbursed by the TIF for the public portion of the project.
However, the TIF would not reimburse for that portion of the project which primarily impacts and
serves the development and is the responsibility of the developer.
Examples of priority, regional transportation facilities that the TIF Board may consider are the extension of
North Tarrant Parkway from IH -35 to the west, Heritage Trace, Golden Triangle, Bailey - Boswell,
Basswood, and Harmon Road. Please see the attached map of some priority, regional transportation
facilities near and within the TIF boundary.
The TIF Board was briefed on three potential major retail projects that may be developed within the
boundary of the TIF. With the amended Project Plan approved unanimously by the TIF Board, these
developments will be eligible for city participation in needed regional public transportation infrastructure.
Council Action: Council will be presented with an amended Project and Financing Plan for
consideration in the next several weeks. Upon approval of the amended Project and Financing Plan,
the TIF Board will have the authority to enter into development agreements, as necessary and as
funding is available, for the construction of priority, regional transportation facilities.
(! " lK.. �7� �
Charles R. Boswell
City Manager
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
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