HomeMy WebLinkAboutOrdinance 20536-12-2012ORDINANCE NO. 20536-12-2012
AN ORDINANCE APPROVING AN AMENDED PROJECT AND
FINANCING PLAN FOR TAX INCREMENT REINVESTMENT ZONE
NUMBER FOUR, CITY OF FORT WORTH, TEXAS (SOUTHSIDE TIF);
MAKING VARIOUS FINDINGS RELATED TO SUCH AMENDED PLAN;
PROVIDING FOR SEVERABILITY; AND PROVIDING AN EFFECTIVE
DATE.
WHEREAS, as authorized by Chapter 311 of the Texas Tax Code (the "Act ") and
pursuant to Ordinance No. 13259, adopted by the City Council of the City of Fort Worth, Texas
(the "City ") November 25, 1997, the City created Tax Increment Reinvestment Zone Number
Four, City of Fort Worth, Texas (the "Zone "); and
WHEREAS, on August 30, 1999 the board of directors of the Zone (the "Board ")
adopted a project and financing plan for the Zone (the "Plan "), as required by Section
311.011(a) of the Act; and
WHEREAS, in accordance with Section 311.011(d) of the Act, on August 31, 1999 the
City Council approved the Plan pursuant to Ordinance No. 13919; and
WHEREAS, as authorized by Section 311.011(e) of the Act, on November 1, 2012 and
pursuant to Board Resolution 2012 -2, the Board amended the Plan to allow the TIF to continue
and expand revitalization efforts in the Near Southside by adding approximately $45 million in
public improvement projects, all as depicted in Exhibit "A," and recommended that the Plan, as
amended, be approved by the City Council;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF FORT WORTH, TEXAS:
Ordinance Approving Amendment to Project and Financing Plan Pagel of 3
Tax Increment Reinvestment Zone Number Four, City of Fort Worth, Texas Ordinance No. 20536 -12 -2012
Section 1.
FINDINGS.
That the City Council hereby makes the following findings of fact:
1.1 The statements and facts set forth in the recitals of this Ordinance are true and correct.
1.2 That the Plan, as amended, includes all information required by Sections 311.011(b) and
(c) of the Act.
1.3 That the Plan, as amended, is feasible and the amended Plan conforms to the City's
master plan.
1.4 That on December 11, 2012, but prior to the adoption of this Ordinance, the City Council
held a public hearing on the Plan, as amended, and afforded a reasonable opportunity for
interested persons to speak for or against designation of the Zone and approval of the
Plan, as amended, as well as for owners of property located in the Zone to protest
inclusion of their property in the Zone (the "Public Hearing "), as required by Section
311.011(e) of the Act.
1.5 That notice of the Public Hearing was published in a newspaper having general
circulation in the City on December 3, 2012, which satisfies the procedural requirement
of Section 311.003(c) of the Act and that notice of the Public Hearing is published at
least seven (7) days prior to the date of the Public Hearing.
Section 2.
APPROVAL OF AMENDED PLAN.
That based on the findings set forth in Section 1 of this Ordinance, the Plan, as amended,
is hereby approved.
Section 3.
DELIVERY OF AMENDED PLANS TO TAXING ENTITIES.
That the Housing and Economic Development Department is hereby directed to provide a
copy of the Plan, as amended, to the governing body of each taxing unit that taxes real property
located in the Zone.
Ordinance Approving Amendment to Project and Financing Plan Page 2 of 3
Tax Increment Reinvestment Zone Number Four, City of Fort Worth, Texas Ordinance No. 20536 -12 -2012
Section 4.
SEVERABILITY.
That if any portion, section, or part of a section of this Ordinance is subsequently
declared invalid, inoperative or void for any reason by a court of competent jurisdiction, the
remaining portions, sections or parts of sections of this Ordinance shall be and remain in full
force and effect and shall not in any way be impaired or affected by such decision, opinion or
judgment.
Section 5.
EFFECTIVENESS.
That this Ordinance shall take effect and be in full force and effect from and after its
adoption.
AND IT IS SO ORDAINED.
ADOPTED AND EFFECTIVE: December 11, 2012
APPROVED AS TO FORM AND LEGALITY:
Male is B. Farmer
Senior Assistant City Attorney
M &C: M &C G -17767
Ordinance Approving Amendment to Project and Financing Plan Page 3 of 3
Tax Increment Reinvestment Zone Number Four, City of Fort Worth, Texas Ordinance No. 20536 -12 -2012
Tax Increment Reinvestment Zone Number Four
(Southside TIF)
Amended and Restated Project and Financing Plan
Approved August 1999
Updated December 2012
Amended and Restated Project and Financing Plan
Tax Increment
Tax increment financing (TlF) is all economic development tool, used by |ood and county governments to
finance public improvements within u doDucd geographic oono. Chapter 311 of the Texas Tux Code
governs tax increment finuooiuA.
Local and county governments may make an area eligible for tax increment financing by designating
reinvestment zone. In order for an area to be designated u reinvestment zone, the area must: (\)
uubotamhuiiy arrest or impair the sound growth of the entity creating the zone, retard the provision of
housing accommodations, or constitute an economic or uoniu\ liability and be u menace to the public
health, safety, morals, or welfare in its present condition; (2) be predominately open, and because of
obsolete platting, deterioration of structure or site improvements or other Cxo\om, aubatuu(io||y impair or
anca/ the sound growth ofthe municipality; or(]) be inufederally assisted now community |ouu\cd in the
municipality or adjacent tosuch property.
&T|F district allows for the tax increment generated from appreciating property values within the area to
be dedicated to public improvements within the same area. As the umocaaod value of property within a
T|F district increases over time, an increase in the taxes collected from the additional value is captured
and placed into a special fund, which is used to finance public improvements; only tuxes collected from
the new taxable value within the T|F district are placed into the xpooio| fund. All other taxes collected
from the base value continue to flow to the local taxing entities within the district.
Senate Bill 576, designed to help mukeT|F districts u more effective economic development tool, was
approved by the Texas Legislature in 2809. This bill authorizes cities to use TlF funds 0m make
infrastructure improvements outside of the district boundaries, iK those improvements directly benefit
the district. The bill also allows historic preservation efforts inside (he?lP by authorizing cities 1ugrant
historic preservation incentives without requiring historic property owners to he ^^onrvcd out" of the
The amount of increment that is captured in the special fund is dependent upon the participation rate of
the local ku«in8 entities. /\ }ouu| taxing entity may choose 0o participate by dedicating u portion of its tax
increment to the special fund. The participation rate of an entity is determined inan inter-local agreement
between the entity and the TIF board.
Each T|Fdistrict is overseen byuBoard of Directors, between five and |5 members, appointed by the
|oou| taxing jurisdictions. This Board of Directors may consider potential projects tha fall within the TI9
district's Project and Financing Plan. In addition k`following the rules set forth in Chapter 3|lofthe
Texas Tux Code, the Board of Directors must also abide by the City's Tax Increment Financing YV1iuy
(Exhibit A), which may hc updated from time totime.
Background
7heSouthside TIF was created on November 25,|V97 by Fort Worth City Council inorder to promote
the revitalization of Fort VVortb`o Near Goudoide neighborhood and medical district after property values
in the Y4emo Gouthyide fell by 6obt percent between 1994 and 1997. Section one of the Preliminary
9ojout and Financing Plan entitled ^^VVbut's Tux Increment Financing and Why Use U for Fort Worth
South?" Exhibit B provides uooxc for redevelopment in the area and shows wily tbe use ofTlF was
The Southside TIF extends over lI/8acres east of Interstate J5WKentucky Avenue and is generally
hounded to the north byInterstate 30 and Vickery Boulevard and to the south by Allen Street and West
Tax Increment Reinvestment Zone Number Four eT|F) 2
Amended and Restated Project and Financing Plan
Arlington Avenue. A map of the Southside TIF can be found in Exhibit B. Metes and bounds can be
found immediately following in Exhibit D.
When the Southside TIF was established, it was composed of 1,330 property owners over 2,770 parcels,
with a base value of approximately $231 million, largely coincident with the Fort Worth Southside
Development District area. Nearly nine percent of the property within the TIF is residential.
There are a number of tax - exempt properties including Cook Children's Hospital, Harris Methodist
Hospital, and the JPS Health Network. In addition, 3.3 percent of properties in the Southside TIF area
have been excluded from the TIF due to historical tax exemptions. Over 100 structures have been
selected or deemed eligible for the National Register of Historic Places.
The Southside TIF is managed by Fort Worth South, Inc., a 501 (c)(4) nonprofit corporation, and is
guided by the principles stated in the Fort Worth Southside Development District Conceptual Plan as
adopted by Fort Worth City Council in May 1995 and the Near Southside Development Standards and
Guidelines as adopted by Fort Worth City Council in November 2007. The Southside Medical District
Strategic Redevelopment Plan was sponsored by the City of Fort Worth, the Fort Worth Transportation
Authority, and a number of private businesses located within the Southside area. This two -year planning
initiative profiled the history, trends, opportunities, and challenges of the neighborhood and established
the strategy for implementing the revitalization plan, including the establishment of the Southside TIF.
The Near Southside Development Standards and Guidelines were adopted to implement the land uses and
development patterns proposed in the Conceptual Plan and the City's adopted Comprehensive Plan.
The Project and Financing Plan was adopted by Fort Worth City Council on August 31, 1999 and was
updated on January 14, 2004. The TIF is set to expire on December 31, 2022.
New public investments within the Southside TIF are funded using available cash increment. The
Southside TIF has not used public debt instruments to finance improvements, nor does it expect to in the
future.
Existing Uses and Conditions
The Near Southside is one of the oldest neighborhoods in Fort Worth, Texas and has experienced
significant changes to its original character.
The natural topography of the area is generally flat, with no major land forms or drainage patterns that
would provide significant constraints to development. The physical attributes are influenced almost
exclusively by historical development patterns and human - related factors.
Currently, the Southside TIF has a wide variety of land uses:
• Major medical institutions and associated professional support including emergency rooms, full -
service hospitals and medical centers, high -rise medical facilities, medical offices, and medical
supply establishments.
Retail is generally limited to restaurants and small shops in one- or two -story buildings, generally
located along major arterials. There is a significant absence of grocery stores and department
stores.
• Most offices are generally related to the nearby medical institutions and range from small office
buildings to larger, mid -rise establishments.
Tax Increment Reinvestment Zone Number Four ( Southside TIF)
Amended and Restated Project and Financing Plan
0 Recent revitalization along Magnolia Avenue has resulted in the development of some retail and
°
Light industrial and warehouse uses an concentrated along the northern and eastern sides of the
SoudmideTlF.
• Single-family residences cluster in four zones: (1) south of Rosedale Street, (%) north o[Rosedale
Street, (3) east of the ENSP and UP railroad tracks, and (4) east of Interstate 35.
• Multi-family residences are scattered throughout the area and range in size.
• Both public and semi-public community facilities exist in the area, promoting education,
entertainment, recreation, safety, and spirituality. Public schools include [}e Zuvu|o Elementary
School, Lilly B. Clayton D|cmonrury School, Trimble Tech High School, Van Zundt'{}uinn
Elementary School, and the Young Women's Leadership Academy.
• Dedicated park land and recreational facilities are limited to Fire Station Park, located north of
Allen Street and wcu\ of Hemphill Skeet Fairmount Park` located in the Fairmount Historic
District; and Watts Park, located north pf[uudu Street and west ofSt. Louis Avenue.
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Vacant and undeveloped land is dispersed the 8ouUoNe]]F. Vacant parcels tend 0o
he fewer in areas south and immediately adjacent to the hospitals and greater in the indmzdo| and
single-family areas to the north and the east.
Visual Characteristics
The Southside TIF encompasses a great variety in landscape and visual characteristics:
* Boasts u significant view o[ the downtown Fort Worth skyline.
*
"Landmark" buildings are limited to h medical facilities including Cook Children's
Hospital, Harris Methodist 8usyituL the JPS Health Network, and Plaza Medical, as well as a
number of historic structures.
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Significant landscaped areas are limited no areas within the campuses o[medical institutions and
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Most arterial streets consist of conflicting architectural churucter, building setbacks, land uses,
and streetscape treatment, resulting in a lack of quality street environments and urban form.
Transportation
The SoutboWo 1lP includes a framework for roadway, parking facilities, and public transportation that
offer both challenges and opportunities for the future.
Public transportation is provided by the Fort Worth Transportation Authority buses and M/TSvehicles.
The Trinity Railway Express (TRE) serves the T&PTerminal from the east to west, moving passengers
between Fort Worth and Dallas. Most recently, The Tand the City are pursuing the TBX Etui| commuter
rail project, from southwest Port Worth to DFW Airport, which would include u proposed "Medical
District" station just west of the Baylor All Saints campus. An implementation of u mass transit
circulator system \o the Near Southajdeof either u rubber wheel bum o, Modern streetcar would serve key
population centers and destinations, while promoting economic development and xustuiuuhi|ity.
Tax Increment Reinvestment Zone Number Four doTIF)
Amended and Restated Project and Financing Plan
Parking in the northwest quadrant ofthe area iy considered adequate, but future development and growth
in the medical field will require additional parking structures. Parking inadequacies curmnUh exist near
the JPS Health Network, along Magnolia Avenue, and at various office and restaurant locations within the
area.
Development Concepts (New Standards and Guidelines)
ln November 20O7, the City adopted the NourSoudhside Standards and Guidelines \o provide aconsistent
mixed-use urban design standard for new development in the area.
The following principles serve as the focus for these standards and guidelines:
* Promote pedestrian-oriented urhunKxn��
,-__- .
* Maximize connectivity and access;
*
Require excellence in the design of the ouh|io realm (building on Port Worth's history of civic
art) and of buildings that front public spaces;
* Promote the preservation and creation of distinctive neighborhoods that provide diverse urban
housing options;
* Support existing Near Soudmidebusinesses;
* Encourage adaptive reuse and Support the preservation o[ historically significant buildings;
0 Encourage creativity, architectural diversity, and exceptional design;
* Promote sustainable development that minimizes negative impacts oo natural resources; and
0 Encourage the integration of public art into public and private development.
A complete copy ofthe Near Southaide Standards and Guidelines can be found oo the web by visiting
Projects
Sou\hoide 7IF projects can be broken down into nine : ()) administration, (2) business
development and retail, (3) parking structures, (4) neighborhood parks and p/uoua` (5) remWuotiud' (6)
schools, (7)siguuge, (8) x\n:o\uuupou, and (9) transportation and infrastructure improvements.
]. Administration —estimated $4,708000 (to date $2,106,511)
u. Expenses in this category reflect the costs incurred by Fort Worth South, Inc. to muougc
and administer activities within the Southside TIF.
Business Development and Retail —estimated $9!000,000 (to date $1,688607)
u. As the number ofSouthmide lIF residents increases, the need for retail services will also
grow. The development of office buildings, grocery stores, mixed-use projects,
restaurants, and shopping centers is u goal ykurod by the ]'lP district and potential
investors. Many of {6eoc projects include public improvements to medical offices or
mised'uxodeve|opmeutm.
Tax Increment Reinvestment Zone Number Four (GouUmideT%P)
Amended and Restated Project and Financing Plan
Parking Structures —estimated $/j,000,000 (to date $4,742166)
u. In September 2004, the Sou\hside TJF board approved the construction and subucouurU
|cooe of the Magnolia Green parking structure. /\JJihonu| parking structures, whether
newly constructed or accessible through nShared Parking Agreement, may be utilized to
encourage denser development and Support public ocoeam \ocomnur,ciu|, residential, and
retail developments at future mixed-use or trans i t-oriented developments.
4. Neighborhood PadaandBazas —mtimated $850,000 (to date $829,949)
x. The Southside TlF has replaced and repaired nearly 50 benches uJou& West Magnolia
Avenue, prompted the development of the Newby Park Pavilion, and funded the
development of VVaMo Purk, creating u green haven to Near Soutbxide residents and
visitors. The SoutbaideT|F does not intend to fund any future park developments.
5. Residential —estimated S5,00000O (to date S1,248086)
u. /\|\houub more than 30'000 people work in the Medical District, only two percent of
Medical District employees reside there. A survey in 2001 confirmed that 17 percent of
workers would live in the Near Southside if suitable accornmodations were available.
0. Schools —e*ixmeJ$/5,0N0,000 (to date $9,070,0V6)
u. The quality ofeducational facilities and the areas immediately adjacent to these schools
demand to be improved. 7)F funds can be used to supplement Fort Worth [SD`ooupim|
spending to reach this goal. The SouthsWeTlP makes annual payments to Fort Worth
ISD to assist educational facilities within the district.
7. 8ignuge—oxtimoled$250000 (iodate $2J300)
u. $158'000 has been allocated to employ city-wide arterial directional and iuformudoou|
signuge,assuggested in the iinkogesStudy. Recently, it has also been determined that
additional oignuAr is needed to identify public parking options, services, and other
destinations throughout the Near 8oudhmidecommunity.
Skeoboupes— estimated S35,000,000 (to date S9,76J65y/
u. The availability of benches and bike racks, improved sidewalks, and \mo coverage
promote the Southside 7[P as a pedestrian-friendly community. Some examples of
potential streetocupm initiatives include:
i South Main between Vickery and Magnolia Avenue;
ii. Magnolia Avenue between Hem phi || Street and South Main Street;
iii. VVcnr Vickery Boulevard between Adams Street and South Main Street;
iv. Svons Avenue between Rosedale Street and Allen Avenue; and
v. Oleander Street between Hemphill Street and Oak Grove Street.
Transportation and Infrastructure Improvements —m/bm(iled$5,000,/00 (to date $0)
o. 7[T participation will ensure needed infrastructure projects will not be delayed due to
funding obstacles. The redevelopment of the South Main corridor between Vickery
Boulevard and Magnolia Avenue iaa priority o[Fort Worth South, Inc. &ddih*no||y`
otnye\ repair and nuoonanuudon between West Vickery Boulevard and Pauomylvuoiu
Avenue, such as:
i College Avenue;
ii West Peter Smith;
iii Lipscomb Street
b. Amass transit circulator system of either a rubber wheel bus m Modern streetcar system
would serve key population centers and destinations, while promoting economic
Tax Increment Reinvestment Zone Number Four (SouUhoidm7|P)
Amended and Restated Project and Financing Plan
development and sustainuh|ih/. /\ mass transit circulator system in the Near Soudsidc
area would connect the Medical District with downtown Fort Worth, closing the gap
between the two business districts created by Interstate 30.
Project Funding Status Worksheets are used to estimate when costs to the TlF will be incurred. An up-to-
date Project Funding Status Worksheet can bc found in Exhibit E.
Relocation
The project plan anticipates that there will be no relocation of residences or businesses existing in the
project development area of the reinvestment zone when development activities commence. lf actions hy
the SuutbuideT|Fresult in relocation nyany persons, the Residential Anti-Displacement and Relocation
Assistance Plan for the City of Fort Worth will govern their relocation.
While the need for relocation is not envisioned, it is acknowledged that in the *vent such rcloouduo
becomes necessary in carrying out the public improvements funded by the SuuthaideTIF, such expenses
will he the oh|i8u1iou of the TIP. The relocation program is administered by the City's Housing and
Economic Development Department. Should such u need arise; persons may appeal their cases through
the established appeals process.
.Financing
The Near Southside is located immediately south of downtown Fort Worth. It is home to Tarrant
County's }uognot concentration of hospitals and out-patient medical services and serves as the urom'x
second largest employment center. The area has u diverse array of activities, ranging from manufacturing
and distribution to residences and schools.
Despite its location at the crossroads ofregional freeways and the heart o/ the dramatic growth nfthe
health care iuduuhy, taxable real property values iu the area have not yet shown resurgence since 1994 of
either the City of Fort Worth o, Tarrant County. Between 1994 and )997` taxable values o[ the City o[
Fort Worth and Tarrant County rose 16 and 23 percent, reupmubvc|y. At the same time, Snuihaide TlF
vu|uca fell eight percent. As stated previously, the 8outhxide T|F also includes u significant amount of
vacant land, which serves as another measure of the depressed market and readiness for redevelopment,
As previously stated, the amount of increment that is captured in the apockd fund is dependent upon the
participation rate o[ the local taxing eo\ihcv. & local taxing entity may choose to participate bydedicating
a portion of its tax increment to the special fund. The participation rate of an entity is determined in an
inter-local agreement between the entity and the T|F board. Currently, all taxing on\i\iou (City of Fort
Worth, Fort Worth lSD, Tunuot County, Tarrant County College District, Tarrant County Hospital
District, and Tunuut Regional Water L)imtdo(} participate in the Southside 7lF at 100 percent. 50 percent
of Fort Worth |SD'y contributions are dedicated to the improvement of educational facilities within the
?lP. Participation agreements may be amended as determined by the taxing jurisdiction. It is expected
that the participation agreements will be amended as follows: Tarrant County, Tarrant County College
District, and Tarrant County Boupi1m| District will participate in the Southmidu TlF at 50 percent starting
in 2013 through the end of 2022. Tarrant Regional Water District will participate in the Sou\huide 7|P at
|00 percent through the end of 2022. The City of Fort Worth will participate in the Sou\buideT|F u190
percent starting iu2Ol3 through the end of2022. The Fort Worth |SDwill participate in the Southsido
T)F at 100 percent with 50 percent of the Fort Worth lSDcuutrihuhons dedicated tnthe improvement of
educational facilities within the Southside TIF boundary up to a maximum contribution of $30 million.
It is expected that the SouthskdeTlF will continue to enter into agreements with private developers to
secure reimbursements for public infrastructure cost associated with their private development projects. It
Tax Increment Reinvestment Zone Number Four (Soudmidel1[)
Amended and Restated Project and Financing Plan
iu also anticipated that llF funds will be spent as they are available to fund the goals and projects of this
Project and Financing Plan.
During the formation of the Southside TIF, it was not anticipated that cash flow from the TIF would repay
municipal bonds sold for the purpose of constructing new public infrastructure. This is sd}| the case
today, although other financing mechanisms and partnerships may he explored i[ existing cash revenue is
insufficient tofund uohdoul project that faces unique tirne conntruioto or other pressing circumstances.
Projections
To date, the BouthyideT[F has pc6bnned incredibly well, uycan be seen by in the most recent Tarrant
Appraisal District (T&C) report in Exhibit F. Since 2OOU, taxable property value percentage growth has
ranged from a negative three percent in 2010 for a TAD adjusted property value to a high of over fourteen
percent annually. Due to this success, rather than estimating two percent unuuu| taxable property value
growth for future years, these projections take into account three percent uuuuul \uxub|n property value
growth.
&nup-to'duto table reflecting increment projections thnough the sunset year o[2022 can be found in
Exhibit G.
Conclusion
The Nomo Bou\hsidc neighborhood is one of Fort Worth's greatest assets. As new investment is uVnmtud
and revitalization is encouraged, the area will continue 0o become an economically viable, noizcd-onc,
central city neighborhood for all toenjoy. @y partnering together, the City of Fort Worth and Fort Worth
South, Inc. will work to maximize the development potential of the Southside TIF and ensure that the area
grows to become a wonderful place to live, work, and play.
Tax Increment Reinvestment Zone Number Four (SoudheidcT\F) 8
Amended and Restated Project and Financing Plan
Exhibit A — City of Fort Worth Tax Increment Financing Policy
Please see following page
Policy, Guidelines and Procedures for
Tax Increment Reinvestment Zones (1 -I17s)
December 2009
City of Fort Worth
Housing and Economic Development Department
Section I. General Guidelines:
1. Each TIF application must demonstrate:
a. "but for" the creation of a TIF, quality development is not likely to occur in
the proposed area without financial assistance from a TIF; and/or
b. An area is ripe for development or redevelopment provided that public
infrastructure is constructed to support the revitalization of the area; and/or
c. use of a TIF is the appropriate incentive tool to recruit or relocate a
catalyst project worth of public investment; and
d. The area proposed for designation as a TIF will have an increase in real
property taxable value within the first two (2) years following designation.
2. The term of any newly created TIF may not exceed 21 years (20 years of tax
increment collection), unless otherwise approved by City Council. Only TIFs
created to help finance a "Major Infrastructure Project ", as designated by the City
Council pursuant to Resolution in accordance with the City's Relocation
Incentives Policy for Businesses Displaced by Major Infrastructure Projects
(Resolution No. 3556-11-2007), may have a term greater than 21 years, and the
longer term shall-pnly be Vermitted as necessa[y to fully finance the "Major
Infrastructure Project ";
3. City of Fort Worth participation in any TIF will be limited to ad valorem real
property taxes and preference will be given to participation at a rate less than
100 percent of the tax increment;
4. City of Fort Worth Housing and Economic Development Department will receive
and evaluate all TIF requests and applications; and
5. City of Fort Worth Housing and Economic Development Department will be
responsible for all TIF administration unless otherwise approved by the Fort
Worth City Council in the Preliminary Project and Financing Plans.
Section 11. Overview, Requirements, and Criteria
1. Local Authority. The City of Fort Worth adopted the initial guidelines by
Resolution No. 3317-02-2006 on February 28, 2006 and was revised by
Resolution No. (TBD) on December 8, 2009. The intent of this Policy is to
provide direction to City Staff and interested parties regarding the development
and establishment of TIFs within the City of Fort Worth.
2. Statutory Authority. Under authority of Chapter 311 of the Texas Tax Code,
municipalities are permitted to establish TIFs. The City of Fort Worth will comply
2
with all requirements of Chapter 311 of the Texas Tax Code.
3. TIF Goals and Objectives. It is the City's goal to utilize TIFs as an economic
development tool in the development or redevelopment of targeted areas. The
City of Fort Worth may use TIFs to finance needed public improvements and
enhance infrastructure within those targeted areas. It is the intent of the City to
use TIFs for the primary purpose of the encouragement of revitalization within the
Central City and other targeted areas identified by City Council by leveraging
private investment for certain types of development activities that support the
goals outlined in the City of Fort Worth Comprehensive Plan.
4. M/WBE Goals. In satisfaction of the requirements set forth in Section 311.0101
of the Texas Tax Code, before initiating work on any phase of the public
improvements, the following goals and commitments must be met:
a. Any project costs for improvements that will ultimately be owned by the
public and contemplated under a TIF Project and Financing Plan will
require goals set by the Minority/Women Business Enterprise office for
utilization of Fort Worth certified minority -owned and women -owned
business enterprises (MMBEs) in accordance with the same process
followed for City Public Works contracts.
b. Any project costs for improvements that will ultimately be owned by a
private entity and contemplated under a TIF Project and Financing Plan
will require a commitment for utilization of Fort Worth certified MNVBEs of
at least 25 percent of the total construction costs of a given project. The
commitment must be outlined in the Economic Development Agreement or
the TIF Development Agreement specifying the terms under which
construction of the public improvements receiving assistance from a TIF
are delineated. Any commitment below 25 percent will require a
developer to meet with the City of Fort Worth M/WBE Advisory Committee
prior to action by the applicable TIF Board of Directors to seek their input
and assistance. The M/WBE Advisory Committee will provide the
applicable TIF Board of Directors with a recommendation related to the
utilization of Fort Worth certified M/WBEs. This recommendation, if
different from the commitment made by the developer, will be non - binding,
but should be taken under advisement by the applicable TIF Board of
Directors.
5. Determining Eligibility. City Staff will undertake an economic analysis and risk
assessment of each proposed TIF before arriving at a recommendation to the
City Council as to whether the TIF should be created. The analysis, assessment,
and recommendation of all requested TIFs will be based on the applicant's ability
to address the following questions:
3
a. What is the public purpose of the proposed TIF? Will the area develop
without being designated as a TIF? What are the required public
improvements?
b. What is the financial need for public investments and/or subsidy? Will use
of the TIF recruit or relocate a catalyst project?
c. How will the City's general fund be impacted as a result of TIF
designation?
d. What is the potential success of the TIF?
e. What is the appropriate level of participation by the City and other taxing
entities?
f. What are the risks associated with creation of the TIF?
g. What alternative economic development tools are available in lieu of the
TIF? How does the proposed Project and Financing Plan meet the needs
of the proposed projects?
h. How will the TIF impact targeted public project improvements that are not
proposed as TIF projects?
6. TIF Tax Increment Once a TIF has been established in accordance with
Chapter 311 and these guidelines, incremental real property taxes resulting from
new construction, public improvements, and redevelopment efforts, will accrue to
the various taxing entities. Participating entities may deposit all, a predetermined
portion, or none of the incremental taxes in a designated TIF fund for the purpose
of financing the planning, design, construction or acquisition of public
improvements to the TIF. The City of Fort Worth may elect to contribute less
than 100 percent of incremental real property taxes to the TIF. In no event will
the City contribute any incremental sales taxes to the TIF.
7. Use of TIF Proceeds. TIF funds may be used only to pay for those public works
and public improvements authorized by Chapter 311 of the Texas Tax Code. TIF
proceeds cannot be used to support exclusively private purposes.
8. Demonstration of Community Revitalization Impact. It is the intention of the City
of Fort Worth to use TIFs for the purpose of supporting community revitalization
and redevelopment projects in targeted areas. As part of the application, a
requestor must describe:
a. How the planned investment will contribute to revitalization activities in the
zone in question and/or the surrounding area of the community; and
b. How the input of nearby neighborhood residents and businesses has been
solicited in the planning process.
9. Participation by Other Taxing Entities. Under Section 311.01 of the Texas Tax
Code, other local taxing entities retain the right to determine the amount of tax
increment that each will retain, or each may decide to retain all of the tax
increment. The City of Fort Worth will enter into written agreements with all
participating taxing entities to specify:
a. The conditions for payment of the tax increment into a TIF;
b. The portion of tax increment to be contributed by each entity to the TIF;
and
c. The term of the agreement.
10. Term of a Reinvestment Zone. As prescribed under Section 311.017 of the
Texas Tax Code, reinvestment zones shall terminate on the earlier of:
a. The termination date designated in the ordinance or order, as applicable,
creating the zone or an earlier, subject to Subsection (c) hereof or later
termination date designated by an ordinance or order adopted subsequent
to the ordinance or order creating the zone-, or
b. The date on which all project costs, tax increment bonds and interest on
those bonds, and other obligations have been paid in full.
c. Only TIFs created to help finance a "Major Infrastructure Proiect", as
designated by the City Council pursuant to the City's Relocation Incentives
Policy and Guidelines for Qualifying Businesses Affected by Public
Infrastructure Proiects (Resolution No. 3556-11-2007) may be considered
for a term extension if such extension is required to fully finance the Maior
Infrastructure Prohect.
11. Criteria for TIF District Creation Requests. In addition to the items outlined
above, before reviewing an application for the creation of a TIF, the City will
require that the requestors, provide the following as part of their application:
a. A summary that includes a general description of the proposed TIF,
including proposed boundaries, an overview of the proposed projects, and
proposed levels of participation by each taxing entity. This summary
should not be more than one page in length.
b. A legal description (metes and bounds) and a map of the real property
proposed for TIF designation;
c. An economic impact study as prescribed in Section 311.003 of the Texas
Tax Code;
d. A minimum of four (4) years of tax value information from the appropriate
tax appraisal district for all properties in the proposed TIF;
e. A proposed Project Plan as described in Sections 311.003 and 311.011 of
the Texas Tax Code, with detailed descriptions of the projects and their
costs, including detailed pro formas, if available; and
f. A proposed Financing Plan as described in Sections 311.003 and 311.011
of the Texas Tax Code, with complete tax increment projections for the
entire term of the TIF.
All information must be provided in both paper and electronic form. A
minimum of five (5) copies must be provided.
12. Criteria for TIF Project Requests. In order for City Staff to recommend funding of
a particular project by the TIF once the TIF has been established, the party
desiring TIF financing must provide the following:
a. Information satisfactorily demonstrating the financial wherewithal to meet
project costs and complete the project (i.e. financial statement, complete
sources and uses budget, or Letter of Credit from an appropriate financial
institution),-
b. A complete and detailed market feasibility study;
c. A complete and detailed cost benefit analysis; the direct and indirect
benefits of a development proposal shall be determined and quantified by
City Staff (e.g. employment benefits, tax base benefits, housing benefits,
and transportation benefits);
d. Demonstrated clear financial gap (e.g. the profitability and feasibility of the
project both with and without public assistance, including a detailed
delineation of the developer equity contribution into the project and the
overall proposed financial structure of the project);
e. Proposed security, collateralization, or credit enhancement; and
f. Demonstrated commitment to the quality of development, the project area,
and project completion.
Section 111. Application Process and Fees
Depending on the exact nature and complexity of the proposed TIF, the estimated
timeframe to complete the process for designation is at least six (6) months. Therefore,
applications for the creation of a TIF must be submitted to the City by June 30 in order
for the TIF to be established in the same calendar year. Applications submitted to the
City after June 30 will not be considered for designation until the following calendar
year. In addition, requestors must submit at least five (5) copies of the application.
All applications for creation of a proposed TIF and applicable fee(s) should be delivered
to:
City of Fort Worth
Housing and Economic Development Department
TIF Administrator
1000 Throckmorton
Fort Worth, Texas 76102
817.392.6103
1. Application Form. Requestors desiring to designate a TIF must fully complete an
"Application for Designation of Tax Increment Reinvestment Zone", provide all
information by this Policy and submit the required application fee, as set forth in
Subsection III below.
0
2. Pre-Application Review Process. A requestor may request a meeting with
appropriate City Staff prior to submitting an application in order to address TIF
requirements and development processes. The meeting can be scheduled
through the Housing and Economic Development Department.
3. Application Fee. A non-refundable application fee of $1,500 must accompany all
applications. The application fee should be in the form of a check or a money
order and made payable to "The City of Fort Worth". The application fee is to
support administrative costs of initial review for completeness, internal
processes, and presentations.
4. Preliminary Review. City Staff will review the application within ten 10 working
days to ensure compliance with these guidelines. If City Staff determines that an
application does not meet the criteria hereunder, the requestor will be so notified,
the application fee will not be refunded, and no further action on the application
will occur. The requestor will have 14 working days to supply any information
that is lacking without having to resubmit a new application.
5. Application Review. If City Staff determines that an application meets these
Guidelines, a full financial and programmatic review of the proposed project will
occur. This review may be conducted by City Staff, an outside agency, or
consultant, and includes at a minimum an analysis of said items under Section 1,
paragraphs V, VII, VIII, XI, and XII in the application or may result in a City Staff
recommendation that TIF designation is not appropriate.
6. Open Records Act. Upon submission of an application, all project information
provided to or developed by the City could become "public information", and
therefore may be subject to provisions of the Texas Open Records Act.
Section IV. Statutory Criteria for TIF Designation
In accordance with Section 311.005 of the Texas Tax Code, to be designated as a TIF,
an area must:
1. Substantially arrest or impair the sound growth of the municipality creating the
zone, retard the provision of housing accommodations, or constitute an economic
or social liability and be a menace to public health, safety, morals, or welfare in
its present condition and use because of the presence of:
a. A substantial number of substandard, slum, deteriorated, or deteriorating
structures;
b. The predominance of defective or inadequate sidewalk and street layout;
c. Faulty lot layout in relation to size, adequacy, accessibility, or usefulness;
d. Unsanitary or unsafe conditions;
e The deterioration of site or other improvements;
N
f. Tax of special assessment delinquency exceeding the fair value of the
land;
g. Defective or unusual conditions of title;
h. Conditions that endanger life or property by fire or other causes; or
i. Structures, other than single - family residential structures, less than 10
percent of the square footage of which has been used for commercial,
industrial or residential purposes during the preceding 12 years; or
2. Be predominantly open and, because of obsolete platting, deterioration of
structures or site improvements or other factors, substantially impair or attest the
sound growth of the municipality; or
3. Be in a federally assisted new community located in the municipality or in an area
immediately adjacent to a "federally assisted new community "; or
a. Federally assisted new community is defined as an area that has received
or will receive assistance in the form of loan guarantees under Title X of
the National Housing Act, if a portion of the federally assisted area has
received grants under Section 107 (a) (1) of the Housing and Community
Development Act of 1974).
4. Be an area described in a petition requesting that the area be designated as a
reinvestment zone, if the petition is submitted to the governing body of the
municipality of the owners of property constituting at least 50 percent of the
appraised value of the property in the area according to the most recent certified
appraisal roll.
a. Only City Council is able to make a defensible finding that the area
described in the petition is unproductive, underdeveloped, or blighted, as
required by Article VIII, Section I — g (b) of the Texas Constitution.
Section V. Statutory Criteria for TIF Designation
Size Limitations. The City of Fort Worth is not permitted under Section 311.006
of the Texas Tax Code to create a TIF or change the boundaries of an existing
I-IF if the total appraised value of taxable real property in the proposed TIF and
in existing TIF exceeds:
a. 15 percent of the total appraised value of taxable real property in the City
of Fort Worth and industrial districts created by the City of Fort Worth; or
b. 15 percent of the total appraised value of taxable real property of a county
in which the TIF is located; or
c. 15 percent of the total appraised value of taxable real property of a school
district in which the TIF is located.
9
2. Use Limitations. The City of Fort Worth is not permitted under Section 311.006
of the Texas Tax Code to create a TIF or change the boundaries of an existing
TIF if more than 10 percent of the property in the proposed or modified zone
(excluding publicly -owned property) is used for residential purposes. A
property is considered to be used for residential purposes if it contains less
than five (5) living units. This particular restriction does not apply to TIFs
established pursuant to a petition received in accordance with Section 311.005
(a) (5) of the Texas Tax Code.
Any questions regarding this Policy should be directed to the City of Fort Worth Housing
and Economic Development Department, 1000 Throckmorton, Fort Worth, Texas
76102, or by phone, 817.392.6103.
Exhibit B — "Why Fort Worth South?"
Please see following page.
Tax Increment Reinvestment Zone Number Four (Southside TIF)
Amended and Restated Project and Financing Plan
APk
r.9-a
EZ
Section 1:
What's Tax Increment Financing
and Why Use It for Fort Worth South?
Tax Increment Financing Defined
Tax increment financing CFIF) is a tool local governments of Texas use to finance
public improvements within a defined area. The improvements strengthen
existing communities and attract new investments. The statutes governing tax
increment financing are in Chapter 311 of the Texas Tax Code.
A municipality makes an area eligible for tax increment financing by designating
a "reinvestment zone," Reinvestment zones are also called "tax increment
zones," 'lax increment districts," "TIF zones" or "TIF districts." Costs of selected
public improvements within the reinvestment zone may be paid by future or
current tax revenues flowing from improved and appreciated real properties in
the zone. The additional tax dollars generated by growth of real property value in
the zone are called the "tax increment." These dollars flow to a 'lax increment
fund" ("TIF fund") for a specified term of years. Money flowing to the TIF fund
each year is disbursed according to a plan and agreements approved by a TIF
board that includes representatives of all participating local governmental units.
Exhibit A is a simple illustration of how tax revenues from real properties within a
reinvestment zone flow to taxing jurisdictions and a TIF fund.
Stein Planning and Management
11/10/97, Page 1
Only cities may create reinvestment zones for tax increment financing. Once
created, school districts, counties, hospital districts and college districts are
ph allowed to participate in the tax increment financing agreement. Each taxing unit
may choose to dedicate to the TI fund all, a portion or none of the additional tax
revenue attributable to increased real property value in the zone.
Inclusion of a property in a reinvestment zone does not change the tax rates for
the property. Tax rates in a reinvestment zone are the same as tax rates outside
the reinvestment zone, within the same set of taxing jurisdictions.
AM
nz
The Case for TIF in Fort Worth South
Fort Worth South is located immediately south of Downtown Fort Worth. Its
general location relative to the City of Fort Worth and Tarrant County is illustrated
in Exhibit B.
Exhibit B:
General Location of the Proposed Reinvestment Zone
Stein Planning and Management 11/10/97, Page 2
The Fort Worth South neighborhoods developed early in Fort Worth's history.
Today Fort Worth South is home to Tarrant County's largest concentration of
IAW hospitals and out-patient medical services. Manufacturing and distribution,
residences, retail services and schools give the area a diversity of activities.
Despite location at the crossroads of regional freeways and dramatic growth of
the health care industry, taxable real property values in Fort Worth South have
not yet shown the resurgence since 1994 of either Tarrant County or the City of
Fort Worth. Exhibit C illustrates the divergence of taxable property values since
1994. From 1994 to 1997, Tarrant County taxable real property values rose 23%.
City of Fort Worth values rose 16 °,o. Fort Worth South values fell 8%.
S900,000 :co
SaM^00 II^C
$700,OCO 000
5800 1CO'000
5500,100 cc
S400,000.-C(
5300,000 oc,
S20O.:CC OC
SIGO,occ 3C
Exhibit C:
Taxable Real Property Value Change
in Reinvestment Zone, City and County
� 11,
rant County/50
% Sinte 1994
�. Womhi25
c , 1994
Q
94
Fort Worth South stakeholders appreciate the low real estate prices and
appraisals in the general area. They see the prospects of economic growth in
this sleeping market as developers and consumers become aware of economic
opportunities and a community drive powering Fort Worth South.
Another measure of the depressed market and readiness for redevelopment in
this significant part of the City and region is the high percentage of land now
vacant. Tax accounts comprising 22% of the privately owned land area in the
proposed Fort Worth South reinvestment zone are vacant land, with no
structures of material value.
The Fort Worth South community has been implementing an owner-driven
11
A"► program to lift itself by the bootstraps. With an organizational structure similar to
Stein Planning and Management 11110/97, Page 3
Downtown Fort Worth, Inc., Fort Worth Southside Development District, Inc. has
done business as "Fort Worth South" since 1996. Fort Worth South is a
OW
501(c)(4) nonprofit operating corporation. It is associated with a 501(c)(3)
nonprofit foundation, Histodc Southside, Inc., founded in 1985, to support
redevelopment. A three-party effort sponsored by the City of Fort Worth, the Fort
Worth Transportation Authority and the Southside Medical District produced a
strategic plan for the community in May 1995, titled Strategic Plan. Goals for
Fort Worth South have included creation of a Tax Increment Financing (TIF)
program for financing of public improvements pursuant to Texas statutes.
'AM
r
Owners of property in the Southside community believe the area will realize more
of its strong potential for economic development when tax increment financing
can be used to attract private redevelopment. With tax increment financing. a
developer may construct approved public improvements and anticipate
reimbursement from the future tax flows generated by the associated
development.
Stein Planning and Management 11/10/97, Page 4
Exhibit C — Southside TIF Map
Please see following page.
Tax Increment Reinvestment Zone Number .Four (Southside TIF)
Amended and Restated Project and Financing Plan
TIF 4: Southside /Medical District
TIF 3
TIF 9 / ,!
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Copyright 0 2004 City of Fort Worth Economic and Communi A 0 1,300 2,600 I 5,200 Feed
Development Department N
Exhibit D — Metes and Bounds
Please see, following page.
Tax Increment Reinvestment Zone Number Four (Southside TIF)
Amended and Restated Project and Financing Plan
Boundary Description
Tax Increment Reinvestment Zone Number Four, City of Fort Worth, Texas
Being a tract of land in the City of Fort Worth, Tarrant County, Texas, which tract is more
particularly described as follows:
Beginning at the southwest corner of Lot 25, Block 20, Fairmount Addition, being in the
easterly line of an alley and in the northerly line of West Arlington Avenue;
Thence westerly along the northerly line of said West Arlington Street to the easterly line of
the Fort Worth & Western Railroad main track right-of-way;
Thence with said Railroad to its intersection with the south line of Park Place;
Thence with the south line of Park Place to its intersection with the extension of the west
line of Berkley Street;
Thence crossing Park Place and with the west line of Berkley Street northerly to the south
line of Edwin Avenue;
Thence easterly crossing Berkley Street and along the north line of Block 7 of Forest Park
Place, commonly known as the Lily B. Clayton School Property, crossing the afore
mentioned Fort Worth & Western Railroad to the east line of said Railroad;
Thence northerly along the east line of said railroad to its intersection with the north line of
All Saints Episcopal Hospital Block 2;
Thence easterly with the north line of said Block 2 to its intersection with the western line of
Fort Worth & Western Railroad right-of-way;
Thence northerly along the west line of said railroad to the southerly line of Mistletoe
Boulevard;
Thence westerly along the south line of said Mistletoe Boulevard to the easterly line of the
Fort Worth & Western Railroad right-of-way.
Thence northerly along the east line of said Railroad to the southerly line of West Rosedale
Street;
Thence westerly along the south line of said West Rosedale Street to the easterly line of
Forest Park Boulevard;
Thence northerly along the east line of said Forest Park Boulevard to the southerly line of
line of the Union Pacific Railroad;
Thence northeasterly along the southerly line of said Union Pacific Railroad to the north line
Exhibit D —Page 1
of West Vickery Boulevard;
Thence easterly along the north line of said West Vickery Boulevard to the southerly right-
of-way line of new Interstate I lighway 30;
Thence easterly along the southerly right-of-way line of said new U.S. Highway 30,
crossing Interstate I lighway 35W to the east line of Kentucky Street;
Thence southerly along the east line of said Kentucky Street to its intersection with the
south line of Terrell Street;
Thence westerly with the southerly line of said Terrell Street to the northeast corner of Lot
1, Block 2 McNulty and Nesbit Subdivision;
Thence southerly along the easterly line of said Lot I and Lot 30 of said McNulty and
Nesbit Addition to the northerly line of Humbolt Street;
Thence easterly along the northerly line of said Humbolt Street to a point on the northerly
extension of the last line of lots 32 and 32A, Block 2 of said McNulty and Nesbit Addition;
Thence southerly crossing said Humbolt Street and along the east line of said lots 32 and
32A and continuing on said line to the southeast corner of Lot 4, Graves and McDaniel
Subdivision and being in the north line of Maddox Avenue, (this line to run generally along
the east line of the first tier of lots on the east side of Evans Avenue from Humbolt to
Maddox);
Thence westerly along the northerly line of said Maddox to a point on the northerly
extension of Lot 553, Block 22, Hyde Park Addition;
Thence southerly crossing said Maddox Street along the easterly line of lots 553 and 580 of
said Hyde Park Addition to the southerly line of said East Allen Avenue;
Thence westerly along the southerly line of said East Allen Avenue to a point on the
southerly extension of the westerly line of South Main Street;
The northerly crossing said East Allen Street and along the westerly line of said South Main
Street to the southerly line of Feliks Gwozdz Place;
Thence westerly along the southerly line of said Feliks Gwozdz Place to a point on the
southerly extension of the east line of Lot 2, Block D, of the Hendricks Subdivision of
Fields-Welsh Addition;
Thence northerly crossing said Feliks Gwozdz Place and along the east line of said Lot 2 to
the northerly line of Ingram Street;
Thence easterly along the north line of said Ingram Street to the westerly line of Travis
Exhibit D — Page 2
Street;
Thence northerly along the west line of said Travis Street to the southerly line of West
Morphy Street;
Thence westerly along the south line of said West Morphy Street to the northwest corner of
Lot 8, Block D, of said I lendricks Subdivision;
Thence southerly along the west line of said Lot 8 to the north line of an alley which divides
said Block D, I lendricks Subdivision;
Thence westerly along the north line of said alley to the east line of Lipscomb Street;
Thence southerly along the east line of said Lipscomb Street to a point on an easterly
extension of the south line of Lot 12, Block C of Armstrong Subdivision of Fields-Welsh
Addition;
Thence westerly along said line and along the south line of Lot 12 and Lot 4 of Block C,
said Armstrong Subdivision to the easterly line of Alston Street;
Thence southerly along the east line of said Alston Street to the southerly line of Maddox
Street;
Thence westerly along the southerly line of Maddox Street to the westerly line of College
Street;
Thence northerly along the west line of said College Street to the northerly line of West
Morphy Street;
Thence easterly along the north line of said West Morphy Street to the westerly line of said
Lipscomb Street;
Thence northerly along the westerly line of said Lipscomb Street to the northeast comer of
Lot 3B, Block A, of Martin & Moodie Subdivision of Fields-Welsh Addition;
Thence westerly to the northwest corner of said Lot 3B;
Thence southerly to the southwest corner of Lot 3B;
Thence westerly along the southerly line of Lot 3A of said Block A, extending to the
westerly line of said Alston Street;
Thence northerly along the westerly line of said Alston Street to the northeast corner of Lot
4, Block 1, Brooks and Bailey Subdivision;
Thence westerly along the northerly line of said Lot 4 extending to the west line of an alley;
Exhibit D — Page 3
Thence southerly along the west line of said alley to the northerly line of an intersecting
alley;
Thence westerly along the northerly line of said alley to the westerly line of said College
Street;
Thence northerly along the westerly line of said College Street to the northeast corner of Lot
3, Block 2, of said Brooks and Bailey Subdivision;
Thence westerly along the northerly line of said Lot 3, Block 2 extending to the westerly
line of an alley;
Thence southerly along said westerly line to the northerly line of an intersecting alley;
Thence westerly along said northerly line to the westerly line of Washington Street;
Thence northerly along said westerly line to the northeast corner of Lot IE of D.S. Ross
Subdivision;
Thence westerly along the northerly line of said Lot I E extending to the westerly line of an
alley;
Thence southerly along said westerly line to the southeast corner of Lot IA, said D.S. Ross
Subdivision;
Thence westerly along the southerly line of said Lot IA extending to the westerly line of
Adams Street;
Thence northerly along said westerly line to the northeast corner of Lot 8D, said D.S. Ross
Addition;
Thence westerly to the northwest corner of said Lot 8D;
Thence southerly along the westerly line of said Lot 8D to the northeast corner of Lot 8C,
said D.S. Ross Addition;
Thence westerly along the northerly line of said Lot 8C extending to the westerly line of
Henderson Street;
Thence southerly along said westerly line to the southeast corner of Lot 4R, Block A,
King's Subdivision of Fields-Welsh Addition;
Thence westerly along the southerly line of Lots 4R and 13R, Block A extending to the
westerly line of Fifth Avenue;
Exhibit D — Page 4
Thence northerly along said westerly line to the northeast corner of Lot 4, Block 8 of said
King's Subdivision;
Thence westerly along the northerly line of said Lot 4 and Lot |3extending to the westerly
line o[ Lake Sineet'
,
Thence southerly along said westerly line tothe northeast corner ofLot 5, Block l, Johnson
Subdivision of Fields-Welsh Addition;
Thence westerly along the northerly line ofsaid Lot 5 to the northeast corner ofLot 28 said
Block 1;
Thence southerly to the southeast corner of said Lot 28;
Thence westerly along the southerly line of said lot 20 extending to the weub:,|v line of
Sixth Avenue;
Thence northerly along said westerly line to the northeast corner of Lot 5, Block 2, of said
Johnson Subdivision;
Thence westerly along the north line ofsaid Lot 5 to the southeast corner nf Lot 29, said
Block 2;
Thence northerly to the northeast corner ufLot 3O, said Block 2;
Thence westerly along the northerly line ofsaid Lot J0extending to the westerly line of
Fairmount Street;
Thence northerly along the west line of said Fairmount Street on the southerly line of
Magnolia Street;
Thence westerly along said southerly ]inc to the vvcstndy line of an uUcy which divides
Block Cof McNulty and Nye Subdivision;
Thence southerly along the westerly line of said alley to the southeast corner o[ Lot 4,Block
C of said McNulty and Nye Subdivision;
Thence westerly along the southerly line of said Lot 4 extending to the westerly |iuc of
Seventh Avenue;
Thence southerly along said westerly line to the southeast corner of Lot 27, 0|oob B of said
McNulty and Nye Subdivision;
Thence vvcstcdy along the southerly line of said Lot 27 extending to the w/cs»rh/ Uuo ofon
Thence northerly along said westerly line to the southerly line nfsaid Magnolia Street;
Thence westerly along said southerly line 10 the easterly line of Hurley 8hoct;
Thence southerly along said euatcx|y line k/ the southerly line nysaid West Morphv Street;
Thence v/ooicdy along said southerly line 0o the northeast corner of Lot F7" E\|ook F, of said
McNulty and Nye Subdivision;
Thence southerly along the easterly Uuowf said Lot F7 and F3 and F2and F4 and extending
to the southerly line of Myrtle Street;
Thence easterly tothe easterly line ofun alley which divides Block 9ofLmyd`mAddition
and Block iof8tovvad's Addition and Block \of Fairmount Addition:
Thence southerly along the easterly line of said alley io the southerly line uF said West Allen
Avenue;
Thence easterly along said southerly line to the northeast corner of Lot 32` Block 10
Fairmount Addition;
Thence ouutbody with the vvostudy line of Hurley Avenue to the southeast corner of Lot 23,
said Block 10;
Thence westerly along the southerly line of said Lot 23 to the easterly line of an alley;
Thence southerly along the easterly line of said alley to the onuth`pest corner of Lot 25,
Block 20, Fairmount Addition and THE POINT OF BEGINN'ING.
SAVE& EXCEPT THE FOLLOWING TRACTS DFLAND:
Lot 3B, Block N, Rosedale Addition (Newkirk Wallerich Building - Ray Boothe);
Lots 5, 6, 7. and 7 feet o[Lot 4 Block L Rosedale Addition NFrcsue| Technologies - Linda
Clavtod;
Lots |, 2` 3` 4A, 5B, 6A, & 0B, Block 34, Tucker's Addition (Fire 8tudnn #5 - Bob
Higginbotham);
Lots \, 2, 3, 5, 6` 7, 8L M, Block Land 700, Smith, Jones & Daggett Addition (Recreation
BoUding - Mod« Bu|rue);
Lots AlBand A2, Block 2,Field`s-Wcicb Addition (Parker Commons 'Fred Brodsky);
Lots 7R and 8QL Block 3, McLellan Subdivision of Field's-Welch Addition (Mehl Building
- David MNkom0;
Lot i, Block 3, Edward's Heirs Addition (600 Eighth Avenue - Art Brender)'
Lots 4B and 5C` Block 17, Jennings South Addition, (201 South Lipscomb - Brent Hull);
Lot \, Block 7, Evans South Addition, (424 Evans Avenue - Glen Hilton Sruidh);
Lots IA, IB,IC, ID, 2, and 3, Block 3, Martin and Moodie Subdivision of Field's-Welch
Exhibit l}— Page 6
Addition (Modern Drug - Ray Boothe);
and those tracts of land being more particularly described as follows:
Beginning at the intersection of the northerly line of Terrell Street with the easterly line of
Seventh Street;
Thence northerly along the easterly line of said Seventy Street to the northwest corner of
Lot 1, Block 2, Grandview Addition;
Thence easterly along the northerly line of Lots 1 through 8, said Block 2 and extending
to the easterly Line of West Sixth Avenue;
Thence northerly along the easterly line of said Sixth Avenue to the southerly line of
Pennsylvania Avenue;
Thence easterly along the southerly line of said Pennsylvania Avenue to the westerly
line of said Henderson Street;
Thence along the westerly line of said Henderson Street to the northerly line of said
Terrell Street;
Thence westerly along the northerly line of said Terrell Drive to THE POINT OF
BEGINNING (Cook's Children's and Harris Methodist Hospitals) ; and
Beginning at the intersection of the northerly line of Petersmith Street with the easterly
line of Jennings Avenue;
Thence northerly along the easterly line of said Jennings Avenue to the southerly line of
Broadway Street;
Thence easterly along the southerly line of said Broadway Street to the westerly line of
Galveston Street;
Thence southerly along the western line of Galveston to the northerly line of Petersmith
Street;
Thence westerly along the northerly line of said Petersmith Street to THE POINT OF
BEGINNING (Broadway Baptist Church and Temple Beth EI).
December 15, 1997
Exhibit D — Page 7
Exhibit E — Project Funding Status Worksheet
Please see fallowing page.
Tax Increment Reinvestment Zone Number Four (Southside TIF)
Amended and Restated Project and Financing Plan
Projected Funding Status Worksheet Fort Worth Southside TIF #4 as of 7/31112
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Exhibit F — Tarrant Appraisal District (TAD) report
Please see following page.
Tax Increment Reinvestment Zone Number Four (Southside TIF)
Amended and Restated Project and Financing Plan
10/01/2012 TARRANT APPRAISAL DISTRICT
APR632J TIF ACCOUNT SUMMARY LISTING APR633BP-2
CFW - TIF 44 (SOUTHSDE)
1997 2012
BASE YEAR
APPRAISED APPRAISED
VALUE VALUE
1997 2012
BASE YEAR
TAXABLE TAXABLE
VALUE VALUE
APPRAISED TAXABLE APPRAISED NET TAXABLE NET TAXABLE
VALUE VALUE VALUE UNDER LESS NEW LESS
INCREMENT INCREMENT PROTEST PROTESTED VALUE CONSTRUCT. NEW CONST,
CITY OF FORT WORTH
235,875,120
498,206,994
229,759,626
488,966,832
262,331,874
259,207,206
5,920,155
483,046,677
TARRANT COUNTY
HOSPITAL
235,875,120
498,206,994
230,881,594
492,282,468
262,331,874
261,400,874
5,920,155
486,362,313
TARRANT COUNTY
COLLEGE
235,875,120
498,206,994
233,823,663
492,317,468
262,331,874
258,493,805
5,920,155
486,397,313
REGIONAL WATER
DISTRICT
235,875,120
498,206,994
233,781,663
492,282,468
262,331,874
258,500,805
5,920,155
486,362,313
TARRANT COUNTY
235,875,120
498,206,994
230,881,594
492,282,468
262,331,874
261,400,874
5,920,155
486,362,313
FORT WORTH ISD
235,875,120
498,206,994
233,238,948
491,466,794
262,331,874
258,227,846
5,920,155
485,546,639
TOTALS FOR APPRAISED VALUE UNDER PROTEST AND NEW CONSTRUCTION DO NOT INCLUDE VALUES FROM ABSOLUTE EXEMPT ACCOUNTS
16,417,739 472,549,093
16,417.739 475.864.729
16,417,739 475,899,729
16,417,739 475,864,729
16,417,739 475,864,729
16,417,739 475,049,055
Exhibit G — Increment Projections
Please see following page,
Tax Increment Reinvestment Zone Number Four (Soutliside TIF)
Amended and Restated Project and Financing Plan
Notes:
1 r/p#wism remain active for uo years through u022.
u. 50% of FWISD's increment contribution($15 mil) is to be returned to the ISD for their use on school campuses within the TIF District.
I np*w increment namxpauon rate /000m starting meo10 through uozz.
*� nrw^ increment vomcpamm rate /aoom starling mzo10 through umz2,
s, np#w increment vmmcpmm,"rate ismom through uoou.
Prepared 11/5112
Fort Worth Southside Tax Increment Finance District #4
Fort Worth Southside
Development District
Actual 1997 through 2011
Projection 2012
through 2022
Actual &
Estimated
Estimated
EsUrnated
Estimated
Estimated
Estimated
Estimated
Estimated
TIF
Tax
% Change
Projected
Increase
FWISD
County
City
HoSpr District
TC College
Water District
Total
Year
Year
in Value
Taxable Value
From Base
Increment
Tax Increment
Tax Increment
Tax Increment
Tax
Increment
Tax Increment
Tax Increment
Base
1997
N/A
$ 231.000,000
—Tax
He 2
.t. 3
Note 31
Note 31
Note 51
Note I
Notes:
1 r/p#wism remain active for uo years through u022.
u. 50% of FWISD's increment contribution($15 mil) is to be returned to the ISD for their use on school campuses within the TIF District.
I np*w increment namxpauon rate /000m starting meo10 through uozz.
*� nrw^ increment vomcpamm rate /aoom starling mzo10 through umz2,
s, np#w increment vmmcpmm,"rate ismom through uoou.
Prepared 11/5112
M&C Review
CITY COUNCILAGENDA
COUNCIL ACTION: Approved on 12/11/2012 - Ordinance No. 20536-12-2012
DATE: 12111/2012 REFERENCE G-17767 LOG NAME: 17TIF4AMENDPLAN2012
NO.:
CODE: G TYPE: NON- PUBLIC YES
CONSENT HEARING:
SUBJECT: Conduct Public Hearing and Adopt Ordinance Amending the Project and Financing Plans
for Tax Increment Reinvestment Zone No. 4, Southside TIF so as to Continue and Expand
Revitalization Efforts in the Near Southside by Adding Approximately $45 Million in Public
Improvement Projects (COUNCIL DISTRICTS 8 and 9)
RECOMMENDATION:
It is recommended that the City Council:
1. Conduct a public hearing concerning an amendment to the Project and Financing Plans for Tax
Increment Reinvestment Zone No. 4, Southside TIF, as set forth in Exhibit A of the attached
Ordinance, to afford an opportunity for interested persons to speak for or against the proposed
Amendment, the boundaries of the Southside TIF district or the concept of tax increment financing;
and
2. Close the public hearing and adopt the attached Ordinance approving the amended Project and
Financing Plans for the Southside TIF district.
DISCUSSION:
The Southside TIF Project and Financing Plan (the Plan) was initially approved by the Southside TIF
district board of directors on August 30, 1999 and subsequently approved by City Council on August
31, 1999 (M&C G- 12649).
On November 1, 2012, the TIF board of directors voted to amend the Plan to allow the TIF district to
continue and expand revitalization efforts in the Near Southside by adding approximately $45 million
in public improvement projects, raising the total projects funded by the TIF district to just under $90
million. Southside TIF projects can be broken down into nine categories: (1) administration, (2)
business development and retail, (3) parking structures, (4) neighborhood parks and plazas, (5)
residential, (6) schools, (7) signage, (8) streetscapes, and (9) transportation and infrastructure
improvements. Details of specific projects can be found in the amended Plan. As new investment is
attracted and revitalization is encouraged, the area will continue to become an economically viable,
mixed-use, central city neighborhood for all to enjoy.
Before the amended Project and Financing Plans can take effect, state law requires the City Council
approve the amended Plan by Ordinance after holding a public hearing at which interested persons
may speak for or against the proposed amendment, the boundaries of the Southside TIF district or
the concept of tax increment financing.
In accordance with state law, notice of the public hearing was published in a newspaper having
general circulation in the City at least seven days prior to the date of the hearing.
The projects contained within the Project and Financing Plans are located in COUNCIL DISTRICTS 8
and 9.
Page I of 2
FuTWOR"I'll
http://apps.cfwnet.org/coLinc']
1 _packet/mc_review.asp?ID=17787&counc*I
ldate=12/11/2012 12/12/2012
M&C Review
FISCAL INFORMATIONXERTIFICATION:
The Financial Management Services Director certifies that this action will have no material effect on
City funds.
TO Fund/Account/Centers
Submitted for Cily Manager's Office by:
Originating Department Head:
Additional Information Contact:
ATTACHMENTS
Ct _13
TIF4 Ordinance Arneind 1 '1 _1 2)
FROM Fund/Account/Centers
Fernando Costa (O122)
Jay Cha9m(5RO4)
Robert GdunnsK}O03>
Marguerite Allen (2235)
Page 2 of 2