HomeMy WebLinkAbout2020/11/17-Attachments-M&C 20-0846City of Fort Worth, Texas
Mayor and Council Communication
DATE: 11/17/20 M&C FILE NUMBER: M&C 20-0846
LOG NAME: 17 ALCONVISION TEZ
SUBJECT
(CD 8) Adopt Resolution Nominating Alcon Vision LLC Facility at 6201 South Freeway as an Enterprise Project Pursuant to the Texas Enterprise
Zone Act, Chapter 2303 of the Texas Government Code
RECOMMENDATION:
It is recommended that the City Council adopt the attached resolution nominating the Alcon Vision LLC Facility at 6201 South Freeway as an
enterprise project, pursuant to the Texas Enterprise Zone Act, Chapter 2303 of the Texas Government Code.
DISCUSSION:
The City Council of the City of Fort Worth (City) has previously passed Ordinance No. 15733 (Mayor and Council Communication M&C G-
14137) electing to participate in the Texas Enterprise Zone Program. On May 12, 2015 the City Council adopted Ordinance No. 21743-05-2015
(M&C G-18473), 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 $2,500.00 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.
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 this 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