HomeMy WebLinkAbout(0002) IR 22-047 - Amendment Economic Development.Our Nations Best SportsINFORMAL REPORT TO CITY COUNCIL MEMBERS
No. 22-047
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To the Mayor and Members of the City Council
March 22, 2022
Page 1 of 1
SUBJECT: AMENDMENT TO ECONOMIC DEVELOPMENT AGREEMENT WITH
OUR NATION'S BEST SPORTS
On May 21, 2013, the City Council approved M&C C-26269 authorizing the execution of an
Economic Development Program (Chapter 380) Agreement with Our Nation's Best Sports. The
Agreement, CSC# 44768 was executed on September 4, 2013, and provided for 10 annual
economic development program grants to the company in an amount equal to up to 50% of the
City's incremental value of real and business personal property at the site. As a part of the
agreement, the company has to expend at least $3.5 million in real and business personal
property and employ a minimum of 35 full-time employees. The agreement also called for
conducting at least two market or trade shows lasting approximately five days each at the Fort
Worth Convention Center or another location in the City, which had an estimated annual
economic impact of approximately $9.2 million. Failure to meet the Trade Show commitment in
any year would result in forgoing the grant payment in the following year.
The Company has successfully met the investment and trade show requirements in the previous
six annual review years. The Company was able to conduct two market or trade shows in 2020
because both events were scheduled and took place in January and February of that year in
advance of any COVID-19 public event space restrictions being implemented. However, in 2021,
the Company was only able to conduct one trade show as a result of public health concerns and
public event space restrictions, which were outside of the Company's control. This causes the
Company to be out of compliance with the Trade Show Commitment for 2021, which would
require that the corresponding estimated grant payment of $1,197.92 be forfeited. The Agreement
and the initial M&C lack a force majeure clause, which would typically be claimed for such an
unforeseeable situation or unavoidable circumstance. Staff has been informed by the Company
that the Company is scheduled to meet the 2022 Trade Show Commitments.
Therefore, staff is recommending that the City Council amend the agreement to exempt the
Company in 2021 from only the Trade Show requirements and to add a force majeure clause.
Staff will place an M&C for City Council consideration on the March 29, 2022 agenda to amend
the Economic Development Program Agreement CSC# 44768 to exempt the company from
2021's Trade Show Commitment and add a force majeure clause.
If you have any questions concerning this information, please contact Robert Sturns, Economic
Development Director at 817-392-2663 or robert.sturns@fortworthtexas.gov.
David Cooke
City Manager
ISSUED BY THE CITY MANAGER
FORT WORTH, TEXAS