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HomeMy WebLinkAbout(0008) M&C 20-0922City of Fort Worth, Mayor and Texas Council Communication DATE: 12/15/20 M&C FILE NUMBER: M&C 20-0922 LOG NAME: 064TH QUARTER HSTE VERIFICATION - AFTER MAY 1 SUBJECT (CD 2 and CD 9) Verify Completion of Rehabilitation Projects for the Historic and Cultural Landmark Properties Located at 1623 College Avenue, 1731 Hurley Avenue, 111 Northwest 24th Street, 113, 117, 121, and 125 South Main Street, and 2944 Hemphill Street and Declare said Properties to be Entitled to a Historic Site Tax Exemption RECOMMENDATION: It is recommended that the City Council verify completion of the rehabilitation projects for the Historic and Cultural Landmark properties located at 1623 College Avenue, 1731 Hurley Avenue, 111 Northwest 24th Street, 113, 117, 121, and 125 South Main Street, and 2944 Hemphill Street and declare that said properties 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 the Historic and Cultural Landmark (HC) properties located at 1623 College Avenue, 1731 Hurley Avenue, 111 Northwest 24th Street, 113, 117, 121, and 125 South Main Street, and 2944 Hemphill Street (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 Appendix A, 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 these tax exemptions is ten years, commencing January 1 of the tax year immediately following verification and approval of the tax exemptions by the City Council. The Historic and Cultural Landmarks Commission (HCLC) reviewed and approved the verification applications for the Properties on the dates 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. Location Taxing Year* Land Value Improvement (Structure) Value Homestead Exemption Base -Year Taxable Value Required Expenditure Total Expended Completed Application HCLC Verification 1623 College Avenue 2 118 $50,0007$45,000 ON $95,000 $9,000 $24,425 4/3/19 10/12/2 1731 Hurley Avenue 2 119 $75,0007$58,641 ON $133,641 $11,728 $13,620 5/15/20 10/12/20 111 Northwest 24th Street 2017 $171,596F $95,250 ON $266,846 $19,050 $336,788 11/16/18 11/9/20 113, 117, 121, & 125 South Main Street 2018 $72,750 $281,715 ON $354,465 $56,343 $72,391 9/4/19 11/9/20 2944 Hemphill Street 2017 $30,000 $154,970 ON $184,970 $30,994 $38,850 10/26/18 11/9/20 *This represents the year prior to the year in which the historic site tax exemption application was deemed complete by the historic preservation officer. These properties are located in COUNCIL DISTRICTS 2 and 9. 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 upon final approval of the Historic Tax Exemption -Verification applications, a loss of an estimated $36,334.00 in property tax revenue may occur over the next ten year 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 W. Dana Burghdoff 8018 Originating Business Unit Head: D.J. Harrell 8032 Additional Information Contact: Justin Newhart 8037