HomeMy WebLinkAbout2021/01/26-Attachments-Exhibit A_Fort_Worth_380_Policy_.PDFCity of Fort Worth
Economic Development Program Policy
for Grants Authorized by Chapter 380,
Texas Local Government Code
Effective January 26, 2021
1. GENERAL PROVISIONS.
1.1. Purpose
Chapter 380 of the Texas Local Government Code authorizes the City Council to
establish and provide for the administration of one or more programs, including programs for the
making of loans and grants of public money and providing personnel and services of the City, to
promote economic development. This Policy is intended to establish a program and set forth
guidelines and criteria for persons or entities interested in receiving economic development
program grants or loans (collectively, "380 Grants") from the City pursuant to Chapter 380 of
the Texas Local Government Code (the "Grant Program").
1.2. General Eligibility Criteria
The terms and conditions of any 380 Grant will be set forth in an Economic Development
Program Agreement that must be negotiated and executed by both the City and the applicant or
an affiliate of the applicant (an "Economic Development Program Agreement"). Although
the City will consider all applications for the 380 Grants that meet the eligibility requirements
set forth in the associated Policy, it is especially interested in supporting projects that are expected
to produce a meaningful impact on the City and its economy and that result in one or more of the
following:
• Growth of business activity, employment, or investment in one of the City's identified
Target Industries;
• Creation of high -wage jobs;
• Significant Investment;
• Growth of business activity, employment, or Investment in the Central Business District;
• Revitalization with likelihood of ancillary development in a key employment node or
specifically designated area of the city;
• Retention or expansion of an existing major employer; and
• Anchoring of a business expansion project with potential to generate additional supply
chain activity.
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2. DEFINITIONS
Capitalized terms used in this Policy but not defined elsewhere shall have the following
meanings:
380 Grant Term — The period of time specified in an Economic Development Program Agreement in
which a party may receive annual 380 Grants, not to exceed a total of fifteen (15) years.
Business Personal Property -- Any taxable tangible personal property other than inventory and supplies
that (i) is subject to ad valorem taxation by the City; (ii) is located on the property subject to an Economic
Development Program Agreement; (iii) is owned or leased by the party to the Economic Development
Program Agreement; and (iv) was not located in the City prior to the effective date of the Economic
Development Program Agreement.
Capital Investment - Expenditures for real property improvements such as, without limitation, new
facilities and structures, site improvements, infrastructure improvements, facility expansion, facility
modernization, and utility installation. Capital Investment does NOT include land acquisition costs or
the cost or value of any improvements existing on the property prior to the City Council's authorization
of execution of an Economic Development Program Agreement.
Catalytic Development — A development that meets the prerequisites set forth in Section 10.
Central Business District — A geographic area within the City, also referenced as Downtown, as defined
in the Fort Worth Comprehensive Plan.
Comprehensive Plan - The City of Fort Worth's official guide for making decisions about growth and
development. The Plan is a summary of the goals, objectives, policies, strategies, programs, and projects
that will enable the city to achieve its mission of focusing on the future, working together to build strong
neighborhoods, develop a sound economy, and provide a safe community.
Designated Investment Zone —The geographic area within the City containing those census tracts (i)
that are eligible for community development block grants (CDBG), as defined and determined by the
United States Department of Housing and Urban Development (HUD), meaning that fifty-one percent
(51 %) or more of residents have low to moderate incomes and (ii) those census tracts that have a poverty
rate of 20% of higher, as shown in the map of Exhibit "A" of this Policy.
Existing Business — A business that was operating within the corporate limits of the City prior to the
effective date of this Policy.
Innovation District — Geographic areas where leading -edge anchor institutions and companies cluster
and connect with start-ups, business incubators, and accelerators that are, physically compact, transit -
accessible, and technically -wired and offer mixed -use housing, office, and retail.
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Investment — The aggregate of Capital Investment and Personal Property Investment.
Mega Project- A project meeting the prerequisites set forth in Section 8.
Mixed -Use Development Project — A development project in which a facility or facilities will be
constructed or renovated such that (i) at least twenty percent (20%) of the total gross floor area will be
used as residential space and (ii) at least ten percent (10%) of the total gross floor area will be used for
office, restaurant, entertainment and/or retail sales and service space. In the event that all or any portion
of the residential space is rental (i.e. apartments), there must be at least fifty (50) units.
Personal Property Investment — The value of Business Personal Property installed on a development
site by a date certain, as determined solely by the appraisal district having jurisdiction over the
development site.
Program Cap — The maximum amount of 380 Grant award available over the term of 380 Grant Term.
Qualified Expenses — Those expenses classified as qualified expenses under Internal Revenue Code
Section 41 (the Research and Experimentation Tax Credit) and any other expenses identified and agreed
to by the City in an Economic Development Program Agreement as direct expenses for utility patent
generation, technology commercialization, or spinoff incubation costs.
Salary — A cash payment or remuneration made to a full-time employee, including paid time off,
commissions, and non -discretionary bonuses. A Salary does not include any benefits, such as health
insurance or retirement contributions by the employer, reimbursements for employee expenses, or any
discretionary bonuses.
Target Industry — A business providing services in the sectors specifically identified in Section 4.
Technology Company — A company working in an industry with a high concentrations of workers in
STEM (Science, Technology, Engineering, and Mathematics) occupations, including, but not limited to,
design, prototype development and testing, preliminary manufacturing and product marketing.
Transit Oriented Development - A Mixed -Use Development located within one-half mile of a
commuter rail line station and in which all buildings will be at least 3 stories in height.
3. ELIGIBILITY CRITERIA FOR GENERAL PROJECTS.
Unless a project meets one of the other minimum eligibility criteria set forth in Sections 4-13
below, in order to be considered for a 380 Grant, a project must commit to a minimum Investment of at
least $25 million and creation of new full-time jobs with certain minimum annual average employee
Salary levels. The amount of a 380 Grant will be based on a percentage of annual tax revenues that the
City receives in a particular year, including ad valorem taxes on real property, ad valorem taxes on
Business Personal Property, local sales taxes directly attributable to the project, or some combination
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thereof. The table below establishes the maximum percentage of annual tax revenues on which 380
Grants to general projects may be eligible, in correlation with minimum Investment and employment
and annual average employee Salary levels:
Minimum Annual Average Wage Rate and Minimum Investment Level
Base Tax
Abatement
$70 Million
$55 Million $40 Million $25 Million
Percentage
Investment
Investment Investment Investment
20%
$52,300 - $65,799
30%
$65,800 - $80,389
$65,800 - $80,389
40%
$80,390 - $94,949
$80,390 - $94,949 $80,390 - $94,949
50%
$94,950 or above
$94,950 or above $94,950 or a bove $94,950 or a bove
As reflected in this table, a general project that commits to annual average annual Salary levels of
less than $94,950 (but not less than $52,300) will be considered for 380 Grants only if the project commits
to higher minimum levels of Investment, but only at lower amounts, depending on the Salary commitments
that are made.
In general, the City of Fort Worth will consider the following lengths of time for 380 Grants for
general projects that are not otherwise covered in Sections 4-13:
Maximum Grant
Term
Parameters
3-5 years
Less than $50 Million Invested or Less than 250 Jobs
5-7 years
$50+ Million or 250+ Jobs
7-9 years
$75+ Million Invested or 350+ Jobs
10 years
$100+ Million Invested or 500+ jobs
4. ELIGIBILITY REOUIREMENTS FOR TARGET INDUSTRY PROJECTS.
The City is particularly interested in developing certain target industries (each defined herein as
a "Target Industry"), whose presence the City has determined especially will help strengthen and
diversify the City's economy:
Established Sectors
• Transportation and warehousing
• Manufacturing
• Healthcare
• Oil and gas
• Tourism
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Emerging Sectors
• Transportation innovation
• Life sciences delivery and innovation
• Geotechnical engineering
• International business
• Corporate and regional headquarters
• Professional services
• Financial services
• Aerospace Manufacturing and design
In order to be considered for a 380 Grant, unless the applicant meets the criteria specified in
Section 5, a Target Industry project must commit to a minimum Investment of at least $25 million and
creation of new full-time jobs with certain minimum annual average employee Salary levels. The
amount of a 380 Grant will be based on a percentage of annual tax revenues that the City receives in a
particular year, including ad valorem taxes on real property, ad valorem taxes on Business Personal
Property, local sales taxes directly attributable to the project, or some combination thereof. The table
below establishes the maximum percentage of annual tax revenues on which 380 Grants to general
projects will be based, in correlation with minimum Investment and employment and annual average
employee Salary levels:
Minimum Annual Average Wage Rate and Minimum Investment Level
Base Tax
Abatement
$70 Million
$55 Million $40 Million $25 Million
Percentage
Investment
Investment Investment Investment
40%
$52,300 - 565,799
50%
$65,800 - $80,389
$65,800 - $80,389
60%
$80,390 - $94,949
$80,390 - $94,949 $80,390 - $94,949
70%
$94,950 or above
$94,950 or above $94,950 or above $94,950 or above
As reflected in this table, a general project that commits to annual average annual Salary levels of
less than $94.950 (but not less than $52,300) will be considered for 380 Grants only if the project commits
to higher minimum levels of Investment, but only at lower amounts, depending on the Salary commitments
that are made. The difference in the eligibility criteria between general projects under Section 3 and Target
Industry projects under this Section 4 is that the maximum 380 Grant amount available for Target Industry
projects is equal to 70% of the designated tax revenues instead of 50%.
5. ELIGIBILITY REOUIREMENTS FOR CERTAIN TARGET INDUSTRY PROJECTS IN
THE CENTRAL BUSINESS DISTRICT.
Applicants in Target Industries that locate in the Central Business District (the "CBD TI
Businesses") are eligible to be considered for if i) the applicant agrees to maintain a minimum of 50
permanent full-time employees at the proposed site of business, ii) the Salaries associated with the positions
are a minimum of $54,876 annually, and iii) the project is that of an Existing Business or a relocation from
outside the Dallas -Fort Worth Metropolitan Statistical Area. If the CDB TI Business does not own the real
property on which the project will be located, the Economic Development Program Agreement may
include the owner of the property to be occupied by the CBD TI Business, but in all cases will include the
CBD TI Business as a party and be subject to certain performance commitments attributable to the CBD
TI Tenant.
If the CBD TI Business locates its project in an existing building in the Central Business District,
the maximum amount of the 380 Grants will equal:
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Up to 80% of the CBD TI Business's incremental Business Personal Property taxes for a
maximum ofl 5 years; or
Up to 80% of the CBD TI Business's incremental real property taxes in a proportional share
to the amount of space within the building that is occupied by the CBD TI Business for up to
10 years.
If the CBD TI Business locates in a new building in the Central Business District for which a
building permit has not been obtained as of the date of the incentive application, the maximum amount
of the 380 Grants will equal:
Up to 80% of net new real property taxes (specifically excluding any Business Personal
Property taxes) in a proportional share to the amount of space within the building that is
occupied by the CBD TI Business for up to 15 years, subject to the following requirements:
o CBD TI Tenant must be a Fortune 1,000 or Inc. 5000 corporate or regional headquarters;
and
o A minimum of 100,000 sf must be occupied by the CBD TI Tenant; and
o The CBD Property must be new construction in order to house the CBD TI Tenant; and
o A minimum of $100 million must be invested in hard construction costs associated with
the new construction.
A CBD TI Business locating in a new building in the Central Business District will only be
eligible for 380 Grants if it meets all of the above -referenced criteria. No other CBD TI Business will
be eligible for 380 Grants under this Section 5 unless it relocates to an existing building in the Central
Business District.
6. ELIGIBILITY REQUIREMENTS FOR RESEARCH AND DEVELOPMENT
PROJECTS.
Target Industry applicants are eligible to receive 380 Grants equal to a percentage of their Qualified
Expenses relating to ongoing research and development activities that take place in the City of Fort Worth.
Qualified Expenses outside the City of Fort Worth will not be considered.
380 Grants under this Section may be made for a period of up to 15 years equal to up to 50% of
Qualified Expenses that are reported for a given year during a period of up to 10 years. At no time will
the amount of any 380 Grant exceed 75% of annual incremental real property and Business Personal
Property taxes received by the City in the preceding year from the subject property of an applicant or an
assignee.
The maximum amount of each 380 Grant under this Section will be determined by the location
in which the Target Industry research and development project is located, as set forth in the table below:
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Maximum Potential
R&D Reimbursement
Central Business District/ Innovation
Equal to 50% of
District
Qualified Expenses
Equal to 35% of
Designated Investment Zones
Qualified Expenses
Equal to 25% of
Other Fort Worth Location
Notwithstanding Section 19.6 of this Policy, a Target Industry business receiving 380 Grants
pursuant to this Section 6 may assign, sell, or transfer its right to receive the 380 Grants to any parry it
wishes, subject to execution of a written agreement between the City, the Target Industry business, and
the assignee party memorializing this arrangement. The Target Industry Business will still be required
to submit any reports and documentation required by the Economic Development Program Agreement
in order for the City to verify the amount of each 380 Grant. The amount of any transferred or assigned
380 Grant will be reduced by 5 percentage points to account for the City's additional administrative costs
in overseeing the program. In the event an assignee advances funds to the Target Industry business
within the first 24 months following execution of the 380 agreement the assignee may, subject to terms
expressed in the Economic Development Program Agreement, have the right to receive 380 Grants equal
to up to 75% of its annual incremental real and business personal property ad valorem tax received by
the City in an amount equal to the lesser of the amount advanced or 15% of the Program Cap for a period
of up to 10 years. No property that is zoned Residential by the City shall be permitted to be included as
part of an Assignee's Subject Property except where such zoning may be changed to facilitate new
development (example: a property zoned for One -Family Detached subsequently rezoned for Industrial
in connection with new development). Properties that are zoned Mixed -Use (including any part of a
form -based code) or properties that are zoned Planned Development may be included as part of an
assignee's subject property.
7. ELIGIBILITY REQUIREMENTS FOR EXISTING BUSINESS EXPANSION
PROJECTS_
The City wants to support the growth of business already located in the City. In order to be
considered for 380 Grants, an Existing Business expansion project that is not eligible for 380 Grants
elsewhere in this Policy must commit to a minimum Investment of at least $10 million and creation of
at least 25 new full-time jobs with a minimum annual average employee Salary level of $52,300.
The amount of a 380 Grant under this Section will be based on a percentage of annual tax
revenues that the City receives in a particular year, including ad valorem taxes on real property, ad
valorem taxes on Business Personal Property, local sales taxes directly attributable to the project, or
some combination thereof, not to exceed 85%.
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8. ELIGIBILITY REQUIREMENTS FOR MEGA PROJECTS.
A "Mega Project" can be within any industry, however, the City of Fort Worth is especially
interested in Fortune 1,000, Fortune Global 500, or Inc. 5000 designated firms, pursing development or
redevelopment opportunities within the City. Projects granted this designation must commit to at least one
of the following (with the exception of data centers or other unique low employment/high capital
investment projects which must have a minimum investment of $50 million):
Commits to a minimum Investment of at least $250 million; or
Commits to hire at least 1,500 full-time employees; or
Commits to a minimum annual payroll of at least $150 million.
The amount of a 380 Grant under this Section will be based on a percentage of annual tax
revenues that the City receives in a particular year, including ad valorem taxes on real property, ad
valorem taxes on Business Personal Property, local sales taxes directly attributable to the project, or
some combination thereof, not to exceed 85%.
9. ELIGIBILITY REQUIREMENTS FOR TECHNOLOGY COMPANY PROJECTS.
The City wishes to encourage and promote the development of technology businesses. In order to
be considered for 380 Grants, a Technology Company project must employ at least 5 individuals.
The maximum amount of any 380 Grant to a Technology Company will be:
• Up to 80% of net new real property taxes on owned or leased facilities for up to 5 years; or
• Up to 80% of net new Business Personal Property taxes for up to 5 years; or
• Up to $10,000 for each new full-time job in first three years of operation with annual
salary over $65,800.
10. ELIGIBILITY REQUIREMENTS FOR CATALYTIC DEVELOPMENT PROJECTS.
A "Catalytic Development Project" is a business project that:
will be located within either a Designated Investment Zone, an Urban Village, or an
identified Revitalization Area, depicted in Exhibits "A", `B", and "C", respectively;
commits to at least $5 million in Investment; and
complies with at least one of the following requirements:
o will be a Mixed -Use Development;
o will fill a gap, such as a grocery store in a food desert or a childcare facility, as
determined by City staff based on goals set forth in the City's then -current
Comprehensive Plan or other statistical data or relevant documentation;
o will be located along a commercial corridor or within an urban village, as identified
in the City's then -current Comprehensive Plan;
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o Generates significant job opportunities in the area, as determined by City staff based
on then -current employment data; or
o Helps create a hub of entrepreneurial activity, positioning the City to attract
entrepreneurs and high -growth companies, as determined by City staff based on
goals and recommendations set forth in the City's Economic Development Strategic
Plan, the City's then -current Comprehensive Plan, or on other statistical data or
relevant documentation.
Notwithstanding the foregoing, a Mixed -Use Development that commits to at least $5
million in Investment and whose residential component comprises rental units (i.e. apartments) that
meet the affordable housing commitments set forth in Section 15.2 will be considered as a
"Catalytic Project" eligible for 380 Grants even if it is located outside of a Designated Improvement
Zone.
All Catalytic Projects will be eligible for consideration for 380 Grants. The amount of a
380 Grant under this Section will be based on a percentage of annual tax revenues that the City
receives in a particular year, including ad valorem taxes on real property, ad valorem taxes on
Business Personal Property, local sales taxes directly attributable to the project, or some
combination thereof, not to exceed 80%.
11. ELIGIBILITY REOUIREMENTS FOR TRANSIT ORIENTED DEVELOPMENTS.
The City encourages and supports the construction of Transit Oriented Developments. In order
to be considered for 380 Grants, a Transit Oriented Development project must commit to at least $5
million in Investment. The amount of a 380 Grant under this Section will be based on a percentage of
annual tax revenues that the City receives in a particular year, including ad valorem taxes on real
property, ad valorem taxes on Business Personal Property, local sales taxes directly attributable to the
project, or some combination thereof, not to exceed 50%, for a period of no more than 7 years.
12. ELIGIBILITY FOR REDEVELOPMENT PROJECTS ON CENTRAL BUSINESS
DISTRICT SURFACE PARKING LOTS.
The City encourages and supports redevelopment of surface parking lots in the Central Business
District and its major arterial roads of East Lancaster and Jacksboro Highway with buildings that will
support compatible businesses in the Central Business District and associated commercial corridors. In
order to be considered for 380 Grants, a project must redevelop a surface parking lot in the Central
Business District that occupies at least 30% of the area of the City block on which it is located. The
amount of a 380 Grant under this Section will be based on a percentage of annual tax revenues that the
City receives in a particular year, including ad valorem taxes on real property, ad valorem taxes on
Business Personal Property, local sales taxes directly attributable to the project, or some combination
thereof, not to exceed 40%, for a period of no more than 5 years; provided, however, that if the
redevelopment project involves two or more surface parking lots owned by unrelated parties, the
maximum 380 Grant percentage available for the project will be 45%.
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13. ELIGIBILITY REQUIREMENTS FOR FULL SERVICE HOTELS.
The City will consider providing 380 Grant incentives to full -service hotel projects, including the
hotel portion of mixed -use projects.
The following matrix presents the minimum features required by the City of Fort Worth in order
for a full -service hotel project to be eligible for 380 Grants.
Hotel
Full Service
Ballroom* Size
Meeting* Space
Boardroom*
Room Block
Rooms
Restaurant
Space
Agreement
200 rooms
Yes
6,000 sq. ft.
2,400 sq. ft.
500 sq. ft.
Yes
250 rooms
Yes
7,500 sq. ft.
4,000 sq. ft.
500 sq. ft.
Yes
300 rooms
Yes
10,000 sq. ft.
6,000 sq. ft.
500 sq. ft.
Yes
* Hotel projects located within Fort Worth's Central Business District that are 12 stories or taller may qualify for
a reduction or reconfiguration of conference space requirements. To be eligible for such adjustments, the
developer must demonstrate that sufficient parking has been secured to serve the needs of the hotel,
whether through a shared parking agreement, provision of new parking, or) the installation of equipment or
infrastructure that supports the use of car sharing services or other shared transportation services.
The amount of a 380 Grant under this Section will be based on a percentage of annual tax
revenues that the City receives in a particular year, including hotel occupancy taxes, ad valorem taxes
on real property, ad valorem taxes on Business Personal Property, local sales taxes directly attributable
to the project, or some combination thereof, not to exceed 80%.
14. EMPLOYMENT DESIGNATED PROJECT FUND INCENTIVES.
From time to time, the City may have cash reserves designated to incentivize businesses that
commit to increase employment levels at Salary levels desired by the City. These cash reserves will be
utilized to make cash grants, either upfront or following attainment of certain performance metrics, or
loans.
All industries will be considered but strong consideration will be given the applicants that derive
the majority of its revenues from one of the following Target Industries (subject to additional requirements
outlined below):
Established Sectors
• Transportation and warehousing
• Manufacturing
• Healthcare
• Oil and gas
• Tourism
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Emerging Sectors
• Transportation innovation
• Life sciences delivery and innovation
• Geotechnical engineering
• International business
• Corporate and regional headquarters
• Professional services
• Financial services
Existing Businesses will only be eligible for 380 Grants under this Section if the City is able to
verify that they are receiving competing offers to relocate their operations outside of the City.
The following table reflects the maximum level of 380 Grants available to a qualifying business
based on the required minimum Salaries for net new full-time permanent jobs. All jobs must be filled
and maintained for a minimum of 3 years in order to qualify. Remedies for enforcement of this
requirement will be established in the Economic Development Program Grant Agreement.
Minimum Annual Wage
Rate
Maximum Amount Per
New Position
$65,800 - $80,389
$1,000
$80,390 - $94,949
$1,500
$94,950 - $109,499
$2,000
$109,500 or above
$2,500
15. ADDITIONAL ECONOMIC DEVELOPMENT PROGRAM REQUIREMENTS.
15.1 Commitment for Utilization of Certified M/WBE Companies.
All projects receiving 380 Grants are subject to the City's Business Equity Ordinance
(Chapter 20, Article X of the City Code) and must make a commitment to utilize Certified
M/WBE Companies (as those terms are defined in the Business Equity Ordinance) for a
minimum of 15% of all construction costs (both hard and soft) associated with the project.
Failure to meet the goal will result in a reduction in the calculation of the maximum 380 Grant
each by 10 percentage points.
15.2. Affordable Housing Commitment for Mixed -Use Development Projects.
All Mixed -Use Development Projects subject to an Economic Development Program
Agreement that contain rental residential units must make a commitment to provide affordable
housing as follows:
• At least 10% of all rental residential units must be set aside exclusively for lease
to qualifying households whose adjusted incomes do not exceed the then -current
eighty percent (80%) income limits established by HUD at rents that are
affordable to such households.
• At least 10% of all rental residential units must be set aside exclusively for lease
to qualifying households whose adjusted incomes do not exceed the then -current
sixty percent (60%) income limits established by HUD at rents that are affordable
to such households.
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16. ECONOMIC DEVELOPMENT PROGRAM CALCULATION.
16.1. Improvements Required.
All Economic Development Program Agreements shall require the recipient to construct
or cause construction of specific improvements on the real property that is subject to the 380
Grant. Failure to construct these specific improvements at the minimum Capital Investment
expenditure and by the deadline established in the Economic Development Program Agreement
will constitute an event of default and give the City the right to terminate the Economic
Development Program Agreement.
16.2. Percentage and Amount.
Although this Policy establishes the maximum calculations for 380 Grants that may be
available for a particular type of project, the specific amount of a particular Economic
Development Program Agreement shall be negotiated on a case -by -case basis and the amount of
the 380 Grants may be less than the maximum amounts specified in this Policy, based on the
review criteria set forth in Section 18.3. The calculation of Economic Development Program for
any project that meets the requirements of this Policy shall be negotiated on a case -by -case basis
and governed solely by the terms and conditions of the Economic Development Program
Agreement.
17. ECONOMIC DEVELOPMENT PROGRAM IMPLEMENTATION
17.1. Term.
Although this Policy establishes the maximum term of Economic Development Program
Agreements that may be available to certain types of projects, the actual term of any particular
Economic Development Program Agreement shall be negotiated on a case -by -case basis and may
be less than the maximum available term specified in this Policy, based on the review criteria set
forth in Section 18.3.
17.2. Compliance.
Unless otherwise provided in the Economic Development Program Agreement, the City
will review and determine the recipient's compliance with the terms and conditions of the
Economic Development Program Agreement for a full calendar year prior to the first year in
which the first 380 Grant will be payable (the "First Compliance Review Year"). The
Compliance Review Year shall either be the full calendar year in which a final certificate of
occupancy is issued for the improvements required by the Economic Development Program
Agreement (or if a certificate of occupancy is not required for some or all of the improvements,
then such other written confirmation of completion of such improvements) for the real property
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and Business Personal Property investment required by the Economic Development Program
Agreement or the following calendar year, as negotiated and set forth in the Economic
Development Program Agreement. The first 380 Grant will be paid in the calendar year
following the Compliance Review Year. In other words, the degree to which the recipient meets
the commitments set forth in the Economic Development Program Agreement will determine the
amount of the 380 Grant payable in the following year. The City will continue to review and
determine the recipient's compliance with the terms and conditions of the Economic
Development Program Agreement for each subsequent calendar year, which findings shall
govern the amount of each subsequent 380 Grant, until expiration of the Economic Development
Program Agreement.
18. ECONOMIC DEVELOPMENT PROGRAM APPLICATION PROCEDURES
Each 380 Grant application shall be processed in accordance with the following standards and
procedures:
18.1. Submission of Application
If a given development project qualifies for 380 Grants pursuant to the eligibility criteria
detailed in of this Policy, an applicant must complete and submit a City of Fort Worth Economic
Development Program Application (with required attachments) (the "Application"). An
Application can be obtained from and should be submitted to the City's Economic Development
Department. In order to be complete, the Application must include documentation that there are
no delinquent property taxes due for the property on which the development project is to occur.
In addition, projects that include, in whole or in part, the renovation of one or more existing
structures shall provide, as part of the applicant's Economic Development Program Application,
a detailed description and the estimated costs of the renovations contemplated.
18.2. Application Fee
Upon submission of the Application, an applicant must also pay an application fee. This
application fee shall be $5,000 ("Application Fee") of which $3,000 will be credited to any
permit, impact, inspection or other fee paid by the applicant and required by the City directly in
connection with the proposed project, as long as substantive construction on the project, as
determined by the City in its sole and reasonable discretion, has been undertaken on the property
specified in the Application within one (1) year following the date of its submission.
If any Application Fee funds are remaining after the development project covered in the
Application has been completed in accordance with the Economic Development Program
Agreement, the applicant must submit a letter to the director of the City's Economic
Development Department requesting a refund of the remaining funds. The request must be made
within ninety (90) days following the date of the project's completion date. Any Application
fees remaining after ninety (90) days following the project's completion date will become the
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property of the City and will not be eligible for. The remaining $2,000 of the Application Fee is
non-refundable and will be utilized for City staff expenses associated with processing the
Application and fees associated with legal notice requirements.
18.3. Application Review and Evaluation
The Economic Development Department will review an Application for accuracy and
completeness. Once complete, the Economic Development Department will evaluate an
Application based on the perceived merit and value of the project, including, without limitation,
the following criteria:
• Types and number of new jobs created, including: respective Salaries, and employee
benefits packages such as health insurance, day care provisions, retirement packages,
transportation assistance, employer -sponsored training and education, any other benefits
and whether all benefits are offered on an equal and non-discriminatory basis to all
employees;
• Percent of construction contracts committed to (i) Fort Worth Companies and (ii)
Certified M/WBE Companies;
• Financial viability of the project;
• The project's reasonably projected increase in the value of the tax base;
• Costs to the City (such as infrastructure participation, etc.);
• Remediation of an existing environmental problem on the real property;
• Type of industry and activities associated at the project site;
• If the company is foreign owned and/or includes capital investment sources from outside
the United States;
• Other items that the City may determine to be relevant with respect to the project.
18.4. Consideration by the City Council
The City Council retains sole authority to approve or deny any Economic Development
Program Agreement and is under no obligation to approve any Application or Economic
Development Program Agreement.
City of Fort Worth 380 Grant Policy
Page 14 of 19
19. GENERAL POLICIES AND REQUIREMENTS
Notwithstanding anything that may be interpreted to the contrary herein, the following general
terms and conditions shall govern this Policy:
19.1. An Economic Development Program Agreement shall not be granted for any
development project in which a building permit application has been filed with the City's
Planning and Development Department.
19.2. The applicant for an Economic Development Program Agreement must provide evidence
to the City that demonstrates that 380 Grants are necessary for the financial viability of the
development project proposed.
19.3. An applicant for the Economic Development Program shall provide Salary and employee
benefit information for all positions of employment to be located in any facility covered by the
Application as well as a copy of the applicant's written non-discrimination policy applicable to
the applicant's employees.
19.4. If the recipient of an Economic Development Program Agreement breaches any of the
terms or conditions of the Economic Development Program Agreement and fails to cure such
breach in accordance with the Economic Development Program Agreement, the City shall have
the right to terminate the Economic Development Program Agreement.
19.5. As part of the consideration under all Economic Development Program Agreements, the
City shall have, without limitation, the right to (i) review and verify the applicant's financial
statements and records related to the development project and the amount of any 380 Grant that
may be payable in any given year; and (ii) conduct an on -site inspection of the development
project in order to verify compliance with the terms and conditions of the Economic Development
Program Agreement.
19.6. The recipient of 380 Grants may sell, assign, transfer, or otherwise convey any of its
rights under an Economic Development Program Agreement to an affiliate of the recipient, as
defined in the Economic Development Program Agreement, provided that the City, the assignor,
and the assignee each execute a document acceptable to the City that outlines the roles and
responsibilities of the parties in that event. Otherwise, a recipient of 380 Grants may not sell,
assign, transfer or otherwise convey its rights under an Economic Development Program
Agreement unless specifically approved by the City Council. A sale, assignment, lease, transfer
or conveyance of the real property that is subject to and which is not permitted by the Economic
Development Program Agreement shall constitute a breach of the Economic Development
Program Agreement and may result in termination of the Economic Development Program
Agreement. For additional information about this Economic Development Program Policy,
contact the City of Fort Worth's Economic Development Department using the information
below:
City of Fort Worth 380 Grant Policy
Page 15 of 19
City of Fort Worth
Economic Development
1150 South Freeway
Fort Worth, Texas 76104
817-392-6021 1 www.fortworthtexas.gov/ecodev
City of Fort Worth 380 Grant Policy
Page 16 of 19
Exhibit "A"
DESIGNATED INVESTMENT ZONES
V
Copyright 2020 City of Fort Worth. Unauthorized reproduction is a violation of applicable laws. This products of
for informational purposes and may not have been prepared for or be suitable for legal, engineering, or
surveying purposes. It does not represent an on -the -ground survey and represents on the approximate relative
location of property boundaries. The City of Fort Worth assumes no responsibility for the accuracy of said data.
City of Fort Worth 380 Grant Policy
Page 17 of 19
Exhibit "B"
URBAN VILLAGES
77
26 12
183
Historic Marine 121
199
183 Six Points
West Seventh _ a►
r Near East Side
m
Oakland Corners
South Main
-r-.
Polytechnic/Wesleyan Historic Handley
Magnolia ?
Evans & Rosedale �'
Ridglea
87
BerrylUniversity
Berry�lRiverside Lake ArlingtonlBerrylStalcup
HemphilllBerry
183 Bluebonnet Circle
87
i
C.:.
Copyright 2020 City of Fort Worth. Unauthorized reproduction is a violation of applicable laws. This products of
for informational purposes and may not have been prepared for or be suitable for legal, engineering, or
surveying purposes. It does not represent an on -the -ground survey and represents on the approximate relative
location of property boundaries. The City of Fort Worth assumes no responsibility for the accuracy of said data.
City of Fort Worth 380 Grant Policy
Page 18 of 19
Exhibit "C"
REVITALIZATION TARGET AREAS
77 26 121
183
t- 121
199 Near Northside
183
East Lancaster
1 Evans and Rosedale' ,yyeslayanl Poly Historic Handley,
.— Rosedale and Riverside
80 West Camp Bowie �I
Como/ Horne Street 4I 87
Slop Six r
1
77
183
87
/ r
Altamesa and McCart
P
Copyright 2020 City of Fort Worth. Unauthorized reproduction is a violation of applicable laws. This products of
for informational purposes and may not have been prepared for or be suitable for legal, engineering, or
surveying purposes. It does not represent an on -the -ground survey and represents on the approximate relative
location of property boundaries. The City of Fort Worth assumes no responsibility for the accuracy of said data.
City of Fort Worth 380 Grant Policy
Page 19 of 19