HomeMy WebLinkAbout(0004) M&C 21-0340 (2)City of Fort Worth, Texas
Mayor and Council Communication
DATE: 05/18/21 M&C FILE NUMBER: M&C 21-0340
LOG NAME: 17BANKOFAMERICA TEZ2
SUBJECT
(CD 5) Adopt Attached Resolution Nominating the Bank of America Corporate Facility at 4200 Amon Carter Boulevard 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 Bank of America Corporate Facility at 4200 Amon Carter
Boulevard 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 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 Bank of America 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.
Bank of America owns an approximately 294,000 sqft office building at 4200 Amon Carter Boulevard, Fort Worth, TX 76155 (outside an
enterprise zone), where they employ approximately 1,550 global tech and operations, and customer support representatives. On February 18,
2020, the City approved Resolution No. 5184-02-2020 nominating the property as an enterprise project for the investment of approximately $6.1
million for building improvements, furniture, fixtures, and equipment and facilitating the creation of 10 or more new jobs and the retention of
approximately 490 existing jobs for a total number of "for -benefit" jobs equaling 500 in aggregate.
Bank of America now proposes to invest a total of approximately $25,000,000.00 in capital improvements at the site to support the consolidation
of certain operations outside of Texas to be located in Fort Worth at 4200 Amon Carter Boulevard. The investment, together with the previously
nominated project, is expected to result in the retention of over 2,000 jobs currently on site and the creation of at least 10 new jobs with average
annual wages exceeding $85,000.00. Both the previous and the current nomination, if approved, will run concurrently.
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 5.
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 the above 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: Michael Hennig 6024