HomeMy WebLinkAbout(0013) IR 21-10568 - Update on Fiscal Year 2021 MidYear Adjustments for Operating PIDsINFORMAL REPORT TO CITY COUNCIL MEMBERS
No. 21-10568
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To the Mayor and Members of the City Council
April 6, 2021
Page 1 of 2
SUBJECT: UPDATE ON FISCAL YEAR 2021 MID -YEAR ADJUSTMENTS FOR
OPERATING AND TOURISM PIDS
This Informal Report provides an update to the Mayor and City Council on the mid -year adjustments
for operating and tourism PIDs which are on the April 6 & 13, 2021 agenda for your consideration.
Background Information
A Public Improvement District is a defined geographical area established to provide specific types
of improvements or maintenance which are financed by assessments against the property
owners within the area.
The City of Fort Worth Economic Development Department administers the City's Public
Improvement Districts (PIDs) in accordance with Chapter 372 of the Texas Local Government
Code. Economic Development has proactively worked with the PID managers and boards to review
necessary budgetary adjustments for FY2021.
Mid -year Adjustments
Below is a summary of the recommended adjustments for each Operating PID:
The following PIDs reallocated expenditures between various expenditure categories with no effect
on fund balance:
• PID 1 — Downtown
The following PIDs are requesting the use of fund balance (for additional expenditures deemed
necessary that have been identified during the fiscal year):
• PID 6 —
Park Glen - $111,941.00
• PID 7 —
Heritage - $252,000.00;
• PID 11
— Stockyards - $49,000.00;
• PID 12
— Chapel Hill - $23,200.00; and
• PID 20
— E Lancaster - $36,000.00
PID 18 — Tourism: City staff, Fort Worth Tourism Public Improvement District Corporation
(FWTPIDC), and Fort Worth Convention and Visitors Bureau (FWCVB) have identified the need
to decrease the Tourism PID Assessment revenue and expenditures by $1,378,453.00 to account
for the 33% reduction in assessment revenue due to drops in hotel occupancy rates as a result of
the COVID-19 pandemic.
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS
No. 21-10568
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To the Mayor and Members of the City Council
April 6, 2021
Page 2 of 2
SUBJECT: UPDATE ON FISCAL YEAR 2021 MID -YEAR ADJUSTMENTS FOR
OPERATING AND TOURISM PIDS
Petition to Expand TPID
In the process of calculating the updates and revised percentages for the 2020 expansion, staff
discovered that Hyatt Place TCU, 2500 W. Berry Street, had signed the 2020 Expansion Petition
to be included in the Tourism PID but was inadvertently counted as not having signed. When
factoring in the signed petition for the Hyatt Place TCU, the petition sufficiency percentages for the
2020 Expansion Petition should have been as follows: (1) 74.9% of the appraised value of taxable
real property liable for assessment, (2) 61.1 % of record owners of taxable real property liable for
assessment, and (3) 65.7% of the area of all taxable real property liable for assessment.
Reserve Policy
With the approval of the Mid -year Adjustment M&Cs, all Operating PIDs with the exception of PID
1 — Downtown are projected to meet the City's reserve requirement which is equivalent to two
months (16.67%) of Operating Expenditures. A plan will be developed during the FY 2022 Budget
process to ensure that PID 1 — Downtown is in compliance with the reserve requirement by the end
of FY25.
If you have any questions, please call Robert Sturns, Director of Economic Development
Department at 817-392-2663.
David Cooke
City Manager
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS