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HomeMy WebLinkAbout(0089) M&C 19-0002City of Fort Worth, Mayor and Texas Council Communication DATE: 08/06/19 M&C FILE NUMBER: M&C 19-0002 LOG NAME: 062ND QUARTER VERIFICATION HSTE - AFTER MAY 1 SUBJECT Verify Completion of Rehabilitation Projects for the Historic and Cultural Landmark Properties Located at 1926 Fairmount Avenue and 1414 Evans Avenue and Declare said Properties to be Entitled to a Historic Site Tax Exemption (COUNCIL DISTRICTS 8 and 9) RECOMMENDATION: It is recommended that the City Council: 1. Verify completion of the rehabilitation projects for Historic and Cultural Landmark properties located at 1926 Fairmount Avenue and 1414 Evans Avenue; and 2. Declare that 1926 Fairmount Avenue and 1414 Evans Avenue be entitled to the Historic Site Tax Exemption set forth herein. DISCUSSION: The purpose of this Mayor and Council Communication (M&C) is to verify the completion of rehabilitation projects for Historic and Cultural Landmark (HC) properties located at 1926 Fairmount Avenue and 1414 Evans Avenue (Properties) and declare said Properties to be entitled to the Historic Site Tax Exemption set forth below. The applications for these properties requesting the historic site tax exemption were submitted after May 1, 2018. Any structure that is designated as HC, or that contributes to a district, and the land necessary for access to and use of the structure that is substantially treated is eligible to receive the following tax exemption under Chapter 4.401 of the City Code, with the intent that the property receiving the tax exemption will be in the same position in regards to City of Fort Worth taxes for the entire term of the exemption. Substantial treatment means treatment at a cost that equals or exceeds the greater of (i) $3,000.00 or (ii) 20% of the appraised value of the structure as of the year prior to the year in which a historic site tax exemption application is deemed complete by the historic preservation officer. During the term of the historic site tax exemption, the structure and land will receive an exemption in an amount equal to the difference between the following: (1) The City of Fort Worth current -year taxable value after application of any other applicable exemptions, including the homestead exemption; and (2) the City of Fort Worth base -year taxable value after application of any other applicable exemptions, including the homestead exemption. The term of this tax exemption is ten years, commencing January 1 of the tax year immediately following verification and approval of the tax exemption by the City Council. The Historic and Cultural Landmarks Commission (HCLC) reviewed and approved the verification applications for the Properties on the date set forth in the table below. Staff represents that it has made an investigation of the Properties and has verified that the treatment projects have been completed in accordance with the Historic Preservation Ordinance. Taxing Land Improvement Homestead Base -Year Required Total Completed HCLC Location Year* Value (Structure) Value Exemption axableValue Expenditure Expended Application Verification 1926 Fairmount Ave. 2017 $75,000 $45,000 N $120,000 $9,000 $11,615 10/4/18 5/13/19 �1414 Evans Ave. 2017 $1,000 $43,372 N $44,372 $8,674 $11,507 10/11/18 5/13/19 *This represents the year prior to the year in which the historic site tax exemption application was deemed complete by the historic preservation officer. This property is located in COUNCIL DISTRICT 8 and 9. This M&C does not request approval of a contract with a business entity. A Form 1295 is not required for this contract because: This M&C does not request approval of a contract with a business entity. FISCAL INFORMATION / CERTIFICATION: Upon final approval of the Historic Tax Exemption -Verification applications, the Director of Finance certifies that a loss of an estimated $1,815 in property tax revenue may occur over the 10 year tax abatement period. This reduction in revenue will be incorporated into the long-term financial forecast upon the Historic Tax Exemption being officially granted. Submitted for City Manager's Office by. Jay Chapa 6122 Originating Business Unit Head: Randle Harwood 6101 Additional Information Contact: Justin Newhart 8037