HomeMy WebLinkAbout(0003) IR 20-10504 - Alcon Vision TEZINFORMAL REPORT TO CITY COUNCIL MEMBERS No. 20-10504 1
4 To the Mayor and Members of the City Council November 10, 2020
Page 1 of 1
ra;3 SUBJECT: TEXAS ENTERPRISE ZONE NOMINATION FOR ALCON VISION, LLC
The City Council of the City of Fort Worth (City) has previously passed Ordinance No. 15733 electing
to participate in the Texas Enterprise Zone Program. On May 12, 2015 the City Council adopted
Ordinance No. 21743-05-2015, amending Ordinance No. 15733 by adding additional potential local
incentives that could be made available to qualified businesses under the Texas Enterprise Zone
Program. The Office of the Governor Economic Development and Tourism through the Economic
Development Bank will consider Alcon Vision, LLC (Alcon Vision) as an enterprise project pursuant to
a nomination and an application made by the City.
The Texas Enterprise Zone Program is an economic development tool for local communities to partner
with the State of Texas to promote job creation and capital investment in economically distressed areas
of the State. An enterprise project is defined as a business that is nominated by a municipality or county
and then approved for state benefits. Designated projects are eligible to apply for state sales and use
tax refunds on qualified expenditures. The level and amount of refund is related to the capital investment
and jobs created at the qualified business site.
Alcon Vision qualifies for a single Enterprise Project Designation with a planned capital investment of
approximately $50 million in campus improvements and modernizations over the next five years at its
Fort Worth facility. These planned investments include mechanical, electrical and plumbing ("MEP")
infrastructure replacements, major roofing replacements/upgrades throughout the campus, elevator
and restroom upgrades, as well as comprehensive interior refresh. These facility improvements and
upgrades will allow Alcon Vision to continue to provide a high -quality product to its local customers and
beyond.
If designated as an enterprise project by the State of Texas, Alcon Vision commits to hiring twenty-five
percent (25%) economically disadvantaged persons or enterprise zone residents for its new certified
jobs at its Fort Worth facility during its enterprise project designation. Alcon Vision expects to retain all
full-time jobs for benefit under the Enterprise Zone Program.
The single project designation allows for a state sales and use tax refund on qualified expenditures of
$2,500 per job, for up to 500 jobs, with a maximum benefit of $1.25 million over a five-year period.
Under the Texas Enterprise Zone Act, at least twenty-five percent of the business' new or retained
employees will be residents of an enterprise zone, economically disadvantaged individuals or veterans.
In addition, the jobs will be provided through the end of the designation period or at least three years
after the date on which a state benefit is received, whichever is later.
Staff will place an M&C for City Council consideration on the November 17, 2020 agenda nominating
Alcon Vision, LLC as an Enterprise Zone Project pursuant to the Texas Enterprise Zone Program.
Submittal and approval of this application for State benefits will have no fiscal impact to the City's
general fund.
If you have any questions concerning this information, please contact Robert Sturns, Economic
Development Director at 817-392-2663 or robert.sturns@fortworthtexas.gov.
David Cooke
City Manager
ISSUED BY THE CITY MANAGER
FORT WORTH, TEXAS