HomeMy WebLinkAboutContract 28115C!i'Y SE�R��R� � �
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STATE OF TEXAS §
COUNTY OF TARRANT §
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TAX ABATEMEI�T AGREEMENT FOR PROPERTY LOCATED IN A
NEIGHBORHOOD EMPQ�yERMENT ZONE �
This TAX ABATEMENT AGREEMEI�T (��Agreement"} is entered into by and
l�etween the CITY OF FORT WORTH, TEXAS (the "City"), a home rule municipal
corporation organized under the laws of the State of Texas and acting by and thraugh
. its duly authorized Assistant City Manager, and the Fort Worth
Hausing Finance Corporaiion, a non-profit housing development
corporation, {"Owner"), acting by and through rerome Walker, its duly
authorized Qwners' Representative.
The City Council of the Ci�y of Fort Worth {"City Counci�") hereby finds and �he City
and Owner hereby agree that the fallowing statements are true and correct and canstitute the
basis upon which the City and Owner ha�e antered into this Agreement:
A. Chapter 378 aF the Texas Loca1 Government Code allows a municipality to create
a Neighborhaod Empowerment Zone (NEZ) if the municipaiity determines that
the creation of the zone wa�ld pramote:
1. The creation of affordable housing, including manufactured housing in the
zone;
2. An increase in economic dev�iopm�nt in ttte zane; •
3. An increase in the quality oi sociai services, education, or p��lic safety
provided to residents of the zane; ar
4. The rehabilitation. of affordable housing in th� zane.
B. Cha�ter 37$ af khe Texas Local Government Code pro�ides that a municipality
that creates a NEZ, rnay enter into agreements abating municipal property ta�tes
on property in the zone.
C. On July 31, 2001, the City adopted basic incentives for property owne:rs who own
property located in a NEZ, stating that the City elects to be eligible to pa�rtzcipate
in tax abatem�nt and including guidelines and criteria ga�erning tax abatement
agreements entered into between the City and �+arious third parties, titled "NEZ
Basic incentives" ("NEZ Incentives"), which is attached hereto as Ex�ibit "A"
and hereby m�de a part of this Agreement far all purposes.
D. The NEZ Incentives cantains appropriate guideiines and criteria governing tax
abatement agreements to be entered into by the City as contemplated by Chapter
312 of the Texas Tax Code, as amended (Che "Code"). __ _�
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E, On September 11, 2001, the Fart Worth City Council adopted Ordir�ance No.
14767 (the "Qrdinance") establishing "Neighborhood Empawerment
Rein�vestmeni Zone No. 1," City of Fort Warth, Texas (the "Zone").
F. �wner owns certain real property located entirely wi�hin the Zone and that i�
more particularly described in Exhibit "B", attached hereto and hereby rnade a
part of this Agreement for all purposes (the "Premises").
G. Owner or its assigns plan ta construct the Required Improvem�nts, as defined in
SecCion �..1 af tI�is Agreement and as described in Exhibit "C", on the Prernises to
be used far as a sin�le-family residence that will be owner occupied. {the
"Project"). �
H. On September 28, 200I, Owner submitted an application for NEZ incent�ves and
tax abatement to the City concerning the cantemplat�d use of the Premises {the
"Applicatian"), attached hereto as Exhibit "D" and hereby made a part of this
Agreer�nent for all purposes.
I. The City CounciI finds that the cont�mplated use of the Premises, the Required
�mpro�ements, as defined in Section 1. �., and the terms of this Agreement are
consistent with eneouraging development of the Zone in accordance with the
purposes far its cr�ation and are in compliance with the NEZ Incentives, the
Resalution and oYher applicable laws, ordinances, rules and regalations.
J. The City Council finds that the terms af this Agreement, and the Premises and
Required Impravements, satisfy the eligibiiity criteria of the NEZ Incentives.
K. Written norice that the City intends ta �nter into this Agreement, along with a
copy of this Agreement, has been Furnished i:n the rnanner prescribed by the Code
ta the presiding officers of t�e governing bodies of each oF the taxing units in
which the Premises is located.
NOW, THEREFORE, the City and Owner, for and in consideration of the terms and
conditions set forth herein, do hereby contract, covenant and agree as follows:
1. OWNER'S COVENAll�TS.
1.1. Real Pronertv Im»rovem��ts.
Owner shall constr�ct, or cause to i�e constructed, on and within the Premises
certain impro�ements consisting of a single family residence, (i} af at least 1,200 square
feet in size, and (ii) having a construction cost upon campletion of $ 6Q,000 includirig site
development costs but such minimum canstruction costs shall be reduced by any
construction cost sa�ings (collectively, the "Required Improvements"). Owner shall
provide a survey of the completed horne showing Required Improvements before the
hame is sold. The parties agree that the final survey shall be a part �i �i��=A,g��;����-�ad
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shall be labeled Exhibit E. Minor variations, and more substantial variations if approved
in wriiing by both of the parties to this Agreement, in the Required Improvements from
the description provided in the flpplication for Tax Aba�ernent shall not constitute an
Event of Default, as defined in Section 4.1, provided that the conditions in the first
sentence of this Section 1.1 are met and the Required Improvements are used for the
purpases and in the manner described in Exhibit "D".
1.2. Completion Date of Required Imurovements.
Owner co�enants to subsiantially camplete constructitin of all of the Required
Irriprovements within two years from the issuance and receipt of t1�e building permit,
unless delayed because of farce majeure, in which case the two years shall be extendeci
by the number of days comprising the specific force majeure. For purpases of this
Agreement, force majeure shall mean an event beyond Owner's reasonable control,
including, without limitation, delays caused by adverse weather, delays in receipt of any
required permits or approvals from any governmental authority, or acts of God, fir�s,
strikes, natianal disasters, wars, riots and materiai ar labar restrictions and shortages as
determined by the City of Fort Worth in its sole discretian, which shal] not be
unreasonably withheld, but shall not include constr�ction �leiays caused due to purely
financial matters, such as, without limitation, delays in the obtaining of adequate
financing.
1.3. Use of Premises.
�wner covenants that the Requixed Imprav�ments shall be constructed and the
Premises shall be sold so that it is continuously used as the primary residence of the
Home Buyer in accordance with th�; dascription of the Project set forth in Exhihit "D"'. In
addition, Owner cavenants that thraughaut the Term, the Required Tn�provements shall
be operated and maintained for the purposes set forth in this Agreement and in a manner
that is consistent with the general plli�7Q5�5 of encouraging develapment or
redevelopment of the Zone.
�. ABATEMENT AMOUNTS, TERMS AND COlyp�TIO1�TS.
Subject to and in accardance with this Agreement, tha City hereby grants to Owner a real
property tax abatement an the Premises, �he Required I:mpravements, as�speci�cally provided irn -
this Section 2{��A�atemen�"). "Abatement" of real praperty t�es only includes City of Fort
Wvrth-imposed ta�ces and not tax.�es from other taxing entities.
�.1. Amount of Abatement.
The actual amaunt of the Abatement granted under this Ag�'eement shall be
based upon the increase in value of �k►e Premises and tha Required improvements over
th�ir values on January 1, 2042 and according to the Tarrant Appraisal District, this
amount is $1,000 the year in which this Agreement was entered i�;4.�:
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One Hundred percent (100%} af the increase in value fram the
construction of the Requirad Tmpravements.
If the total construction costs of the Req�xired Improvernents ar� less than as
pro�ided in Section 1.1 of this Agreement, except that such minimum construction costs
shall be reduced by construc�ion cost savings, Uwn�r wiIl not be eligible to receive any
Abaternent under this Agreement.
�.� Term of Abatement.
The term of the Abatement {the "Tcrm") shall begin on J�anuary 1 of the
year fallowing the caiendar year in which the Required Impravement is sold to a
Home Buyer to be used as its prima.ry residence {"Beginning Date")_and, unless
sooner terminated as herein provided, shall end on December 31 immediately
preeeding the fifth (5�') anniversary of the Beginning Dake. Upon the sale to a
Home Buyer, City shall certify that the Required Improvements have be�n
cornpleted in satisfactian of the terms of this Agreernent.
However, the Compliance Auditing Term will� begin on ihe date tl�is agreement is
executed and will end on the expiration date of the Term.
�.3. Protests O�er A�praisals or Assessments.
Owner shaIl have the right to protest and contest any or all appraisals or
assessments af the Premises andlor improvements thereon.
2.4. Abatement Anplication Fee.
The City acl�nowledges receipt from Owner of the required Abatament
application fee of twenty-fi�e dollars ($25.00�.
3. �iECO�DS. CERTYFICATION AND EVALUATION OF PROJECT.
3.1. Inspectian of Pr�Lmises.
Between the execution date of this Agreernent and the last day of the Term, at any
tzme during construct�on of the Req�ired Itnprovements and fallflvving r�asonable notice
ta Owner, the City shall have and Or�vner shail pro�ide access to the Premises in or��r for
the City to inspect the Premises and evaluate the R�quired T�nprovements to ensttre
camp�iance with the �terms and conditions of this Agz'eement. . Owner shall cooperate
fully with the City during any such inspection anci/or evaluation.
3.2. Certi�'iicatian
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Property Owner, and Home Buyer once the property is so1d, .shall certify annually
ta the City that it is in compliance with each app3icable terrn of this agreement. The City
shall have the right to audit at the City's expense the financial and k�usiness recards of
Owner that relate to t�e Consiruction of the Project and Abatement terms and conditions
(colleetively, th� "Records") at any tirne during the Compliance Audsting Term in order
ta determine compliance with this Agreement arad to calculate the correct percentage af
Abatement available to Owner. Owner sha11 make aIl applicable Recards available to the
City on the Premises or at another location in the City following reasonable advanee
no�ice by the CiCy and shall otherwise cooperate fully with the City during any audit,
3.3. Provision of Information.
On or before February 1 following the end of every year during the Compiiance
Auditing Term and if requested by the City, Owner shail prov�.de infoarmation and
dacurnentation faz` the previaus year that addresses Ow�er's compliance with each af the
terms and conditians of �his Agreement far that calendar year.
Faiture to prnvide r�ll iraform�ation within the contral of Owner required by this 5ection
3.3 shall cnnstittcte an Event of Default, as de,f'ine�l in Sectiora 41.
3.4. , Determination of Comuliance.
On ar.before August 1 of each year during the Compliance Auditing Term, the
City sliall make a decision and rule on th� actual annual percentage o� Abatement
available to Owner for the following year of the Term and shall notify Owner of such
decisian and ruling. The actual percentage of the Abatement granted for a given year of
the Terrn is therefare based upon Owner's compliance with the terms and conditions of
this Agreement during the grevious year of the Compliance Auditing Term.
�. EVENTS OF DEFAULT.
4.1. Defined.
�nless otherwise specified herein, Owner shall be in default of this Agreement if
{i) Owner fails to construct the Required Improvements as defined in Section 11; {ii) ad
valorem real �pr4perty taxes with respect to the Premises ar the ProjecE, or its ad valo�rem
taxes with respect to the tangibl� personal property located on the Premises, become
delinq,uent and Owner does nat timeiy and prop�rly follow tha legal procedures for
protcst and/or contest of any such ad valorem real property or tan�ible persona] property
taxes ar (iii) Home Buyer does not use the Premises as primary residence once the
abatement begins {collect�vely, each an "Event of Default").
4.2. Notice to Cure. �
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Subject to Section 5, if the City determines that an Event of Default has occurred,
the City shall provide a writ�en notice to Owner that describes the nature of the Event af
Defau�t. Owner shail have ninety (9D} calendar days from the date of recei�t of this �
written notice ta fully cure or have cured the Event of Default. If Ovsmer reasonably
believes ti�at Owner will require additional tirne ta cure th� Event of Default, Owner shall
prornptly notify the City in writing, in which case (i) after advising the City Council in an
open meeting o� Owner's efforts and intent to cure, Owner sha11 have one hut�dred eighty
{1$0) caIendar days from the original date of receipt of the written notice, or (ii) if Owner
reasonably believes that Owner will reguire mare than one hundred eighty (180) days to
cure the Event of Default, after advising the City Council in an open meeting of Owner's
efforts and intent to cure, such additional time, if any., as may be affered by ths City
Council in its sole discretion.
4.3. Termination for Event ai Default and Pavment of Liquidated Damaees,
� If an Event of Default which is defined in Section 4.1 has not been cured wiChin
the time frame �pecifically allawed under Sect'ron 4.2, the City shall have the right ta
terminate this Agreement immediately. Owner acknowledges and agrees that an uncuxed
Event of Default will (i) harm the City's econornic develapment and rede�elopment
efforts on the Premises and in the �icinity af the Preznises; (ii) require unplanned and
expensive additional adminis�rative aversight and invoivement by the City; and {ui)
atherwise harm the City, and Owner agrees that the amounts of actual darnages therefrom
are speculative i� nature and will b�: difficult or impossible to ascertain. Therefore, upan
terminatson of this Agreement for any Event of Default, Owner shall not be eligible for
the Abatement for the remaining Term and Owner shall pay the City, as liquidated
damages, all t�es that were abated in accordance with this Agreement far each year
when an Event of Default existed and which otherwise would have been paid to the City
in the absence af this Agreement. The City and Owner agree that this amount is a
reasonable appraximation of actual damages that the City will incur as a result af aa
uncured Event of Default and that this Section 4.3 is intended to pro�ide the City with
campensation far actual damages and is not a penalty. This a�mount may be recovered by
the City through adjustments made to Owner's ad valorem property tax appraisal by the
appraisai district that has jurisdiction over the Premises. Otherwise, this amount shall be
due, owing and paid to tha City within sixty (50) days following the eff�ctive date of
termination of this Agreernent. In the event that all or any portion of this amount is z�ot
paid to the City within sixty (GO} days fallawing the effective date of termination of this
Agreement, Owner sh�Il also be liabla for all penalti�s and interest an any outstanding
amount at the statutory rate far de�inquent taxes, as determined by the Code at th� time of
the payment vf such penalties and interest {currently, Sectian 33.01 of the Code).
4.4. Termination at Wiil.
If the City and Owner mutuaily determine that the dev�lopment or use oi the
Premises ar the anticipated Required Irnprovements are no longer apprapriate ar feasible,
or that a higher or better use: is preferahle, the City and Owner may terrninate this
Agreement in a written format that is signed by both parties. In thi�a�r�nt,-(i)�-i�-th�-`��rm
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has commenced, the Term shall expire as af the effective date of the termination of this
Agreement; {ii) thez'e shall be no recapture a� any taxes previously abated; and (iii)
neither party shall have any further rights or obligatiQns hereunder.
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6.
crty:
EFFECT OF SALE OF PRENIISES.
The Abatement granted hereund�r shall vest anly i� Owner and eannot be
assigned to a new awner of al1 Qr any portiQn af the Premises and/or Required
Improvements without the prior written consent of the City Council, which eonset�t shall
not be unreasonably withheld provided that (i) the City Cauncil finds that the proposed
assignee is financially capable of ineeting th� terms and condition� of this Agreement and
{ii) the proposed purchaser agrees in writing to assume all terms and conditions of Owner
under this Agreemcnt, Owner may not otherwise assign, lease or convey any af its rights
under th�s Agreement. Any atternnpted assignmant wit�out the City CQuncil's priar
written consent shall constitute grflunds for terminatian af this Agreement and th�
Abatement granted h�reunder following ten {1Q) calendar days of receipt of written
notice from the City to �wner.
T� na event shall the abatement term be extended in the event of a subseqr�ent sale
or assigtiment.. .
NOTICES.
A�1 written notices called for or required by this Agreement shall be addressed to
the following, ar such ather pat-�y ar address as either party designates in writing, by
certified maii, postage prepaid, or by hand deiivery: �
�wncr:
City af Fort Worth
Attn: City Manager
1Q00 Throckmortan
Fart Worth, TX 76102
7. MISCELLANEOUS.
i1. Bonds.
Fort Wor� Housing Finance Carporation
1000 Thrackmorton
Fort WOrth, Texas 76102
The Required Iznpravements will not be financed by tax increment bonds. This
A�reement is subject to rights of holders of outstanding bonds of the City.
7.2. Contiicts of �nterest.
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Neither the Prenuses nor any of the Required Improvements covered by this
Agreement arc owned or leased by any rnember of ih� City Council, any membe;r of the
City Plar�nin� ar Zoning Cammission or any member of the gov�;rning body of any taxing
units in the Zone. .
7.3. Conflicts Between Documents.
In the event af any conflict between the City's zoning ordinances, or other City
ordinances or regulations, and this Agreement, such ordinances or regulations shall
control. In the ev�nt of any conflict between the body of this Agreement and E7chibzt
"D,,, the bfldy o� this Agreernent shall controi.
'�.4. Future Apnlication.
A portion or all of the Premises and/or Required Irnprovements may be eligible
far complete ar partial exemption frorn ad valorern taxes as a result of existing law or
future legislat�on. This Agreemeni shall not be� construed as evidence that such
exemgtions do not apply to the Premises and/or Required Improvements.
7.5. Citv Council Authorizat�on.
This Agre�ment was authorized by the City Council through approval af Mayor
and Council Communication No. an , which, among other
things, autharized the City Manager to execute this Agreem�nt on behalf of the City.
7.6. Estonpel Certificate.
Any party hereto may raquest an estoppe� certi�'icate �ram another party hereta so
long as the certificake is requested in conn�ction with a bona fide business purpose. The
certificate, which if requested will be adclressed to th� Owner, shall include, but not
necessarily be limited to, statements that this Agreement is in full force and effect
without default (or if an Event of Default exists, the nature of the Event of Defau]t and
curative action taken andlor necessary to effect a cure), the remaining term oF this
Ag�reement, the levels and r�maining term of the Abatement in effect, and such other
matters reasonably requested by the pariy or parties ta receive the certificates.
7.7. Owner Standin�.
Owner shall be deemed a proper and necessary party in an�r litigation questioning
or challenging the validiiy of this Agreament or any af the underlying laws, ordinances,
resolutions �r City �ouncil actions authorizing Chis Agreement, and Owner s}�all be
entitled to intervene in any such lit[gation. .
i.$. Venue and Turisdiction. . .
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This Agreement shall �e construed in accordance with the laws of the State af
Texas and applicable ardinances, i-�.�les, regulatians ox policies a� the City. Venue far any
action under this Agreemen� shall lie in the St�te Distriet Court of Tarrant County, Texas.
This Agreement is performable in Tarrant County, Texas
'�.9. Recoardatian.
A certified copy of this Agreern�nt in. recordable form shall b� recarded in the
Deed Records of Tarrant County, Texas,
i.10. SeverabilitY.
�f any proYision of this Agreement is held to be invalid, illegal or unenforeeable,
the validity, legaIiiy and enforceability of the remaining provisions shall nat in any way
be affected ar impaired. �
7.11. Headin�� Not Controllin�.
Headings and titles used in this Agreernent are for re%rence pwrpa�es only and
shall not be deemed a part of this Agreement.
7.12. Entiretv of A�reeinen��
Tl�is Ag�reement, including any exhibits attached hereto and any documents
incorporated herein by reference, contains the entire undexstandit�g and agreement
between the City and Ovvner, their assigns and successors in interest, as to the matters
contained herein. Any prior or contemporaneous orai or vvritten agreement is hereby
declared null and void to the extent in conflict with any pxovision of this Agreement.
This Agreement shall not be arnend�d unless executed in writing by both parties and
approved by the City Council. This Agreement may be executed in multiple
counterparts, each oi which shall be considered an original, but all of which shall
constitut� anc instrument.
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EXECUTED Ch' day af '"`�' , 2002, by t�e City of Fort Worth,
Texas. '
EXECUTED this �day of
Finance Corporation.
CITY OF FORT WORTH:
:
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J���'��►�-. �e.�r-
Assis�ant Czty Manager
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:
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Secretary
, 2002, by Fort Worth Housing
FORT WORTH HOUSTNG FINANCE
C�RP�RATION:
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Je o e C. Walker
AT"TEST:
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APPROVED A O FORM AND LEGALITY:
By: .
Cyn ia Garcia
Assistant City Attorney
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STATE OF TEXAS §
GOUNTY OF TARRANT §
BEFORE ME, the undersigned authority, on this day personally appeared
�' �d �l-��c'�:TO�, Assistant City Manager of the CTTY OF FORT WORTH, a municipal
corporation, known to me to be the person and officer whose name is subscribed to tk�e foregoing
instrument, and acknowledged ta me that the �same was the act of the said CTTY OF FORT
WORTH, TEXAS, a municipal corporatian, that he was duly authorized to perfarm tk�e same by
appropriate Mayor and Council Communieatiot� of the City Council of the City of Fort Wortla
and that he executed tf►e same as the act of tihe said City f�r the puzposes and consideration
therein expressed and in the eapacity therein stated. '
GNEN UNDER MY HAND AND SEAL QF OFFICE this
�7 ���� , 20Q2.
/���a. ���
Natary Public in and for
the State of 'Texas
�i [7 S �i//A �3r� R �'
Notary's Printed Name
�day of
��'��P4Y A �. �40SEL�A BARNES
'`� .�.��� NOiARYPUBLIC �
t�� �� -
+N,�� �g� Sta#e of Texas �
'���'oF ��r Comrn. �xp. 03-31-2005
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STATE OF TEXAS §
COUNTY OF TARRANT ' §
BEFORE ME, the undersigned authQr�ty, on this day persona3ly appeared �� �,-a�� C.��/���
��r„�- of the Fort Warth Housing Financc Corporation, a Texas non- prafifi cazparation,
kn�wn to me ta be the person whose name is subscribed to the foregoing instrumenk, and
acknowledged to me that he executed the same for the puzposes and consideration therein
expressed, in the capaciiy therein stated and as the act and deed o� the Fort Worth Housing
Finance Carporation.
GIVEN UNDER MY HAND AND SEAL OF OFFICE this �a—� day
of �5 �p �� � � �- , 2002. �
�.c�_ ��
Natary Public in and far : `. ;. . _•_ � �• __ . � ��
the State of Texas - _'�� ��'` ���'�''� ����
; =*; � iNY COlNMI6510N �XPII��S
� _">�`. Jsnuaiyf �`l, 2003 � �
.Rf.�
....�.�,.,»�..� -- �
Notary's Printed Name
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Exhibit A: NEZ Incenti�es
Exhibit B: Praperty Desc�iption
Exhibi� C: Pro�ect description including kind, number and loca�ion of the proposed
iinpra�ements.
Exhibit D: Application: (NEZ) Incentives and Tax Abateinent
Exhibit E: Final Suzvey
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CITY O� FORY WORTH
NE1GF��ORHO�D I�MPOWE�MERl7 ZONE (NEZ) �ASIC 1NC�Ni[1/�S
Ad�pfed by fhe Fort Wor�h Cify Council on July 31, 2007 (M&C G-73208 R)
Amended by the Fort Warth City Council on April 2, 2002 (M&C G-93580), July ,23, 2002
(M&C G-73662)
I. G�NERI�! PURPOSE �AID OBJ�CYIVES
Chap#er 378 of the Texas Locai Government Code allows a municipality #o create a
Neighborhood Empowerment Zone (NEZ} when a"...munici�aiity determines tha� fh� cr�ation
af the z�one would promote: �
(1) the creativn of affordabl� housing, including manufactured hausing, in the zone;
(2) an increase in economic developm�nt in the zone;
(3) an increase in the quality of social ser�ices, �ducation, or public safety provided to
resiiients of the zone; or
{4) the rehabilitation of affardable housing in the zo�e."
The City, by adopting the following incenfives, wiif promote affordable housing and
economic development in the NEZ. N�Z ince�tives will not be granted after tl�e NEZ expires as
defined in the resolution designating the NEZ. Far �ach NEZ, the City Council may approve
additional terrns and incentives as permitted by Chapter 378 af the Texas Local Govemment
Code or by City Counci! resalution. How��er, any tax abatement awarded b�fore the expirati�n
afi a NEZ shall carry ifs fuil term accarding to iis tax abatement agreement approvec! by the City
Council. .
�s mandated hy staf� �aw, the properEy tax abafemenf under ih�s policy applies t� fhe
ow�ers of real praper�y, iVothing in �he policy shal� be cons�rued as an obfigation hy the
City oi �orf �orth fo a�prove any ta�c abatemer�fi applica�ion.
II. �EFII�ITIOf�s
"Abatement°' means th� fulf or par�ial exemption from City af Fort Worth ad valorem ta>ces an
eligibl� praperties �or a period af up to 1 Q years and an amount af up to 104% of the increase in
appraised valu� (as reflected on tF�e certified tax roli of tl�e appropriate county appraisal districf}
resulfing from improvem�nfs. Eligible properties m�st be focated in the NEZ.
"Base Value�' is the value of the property, excluding fand, as �etermined by tF�e Tarrant County
Appraisal Distric#, during the year rehabilitatifln occurs,
"Building 5tandards CQmmission" is the cammission created under Sec. 7-77, Article 1V.
Minimum Building Standards Cade af the Fort Worth Cify Cad�.
"Capifa! Investmenf" includes only real praperty impravementS such as new facilities and
structures, site impro�ements, facility ex�ansiort, and facility modernization. Capitai Investment
daes NOT includ� land acquisition costs andlor any existing impravements, or personal property
(sUch as machinery, equipment, andlor sup�lies and invenfory).
"City of Fort Worth 7ax Abatement Policy 5fatemenf" means the pa[icy adopted by City Council
on February 29, 2aao.
"Commercial/Industrial Development Project" is a de�e[opment project which proposes to
construct or rehab�litafe commercial/industrial faciiities on proper�y that is {or meets the
req�irements #o be} zoned commercial, industriaf ar mixed use as defined by the Cify of Far�
Worth Zoning Ordinance.
"Communify Facility Developmenf Project" is a develo}�ment pro3ect which proposes to consiruct
or rehabifitate cammur�ity facilities on property that allows such use as defined�by the Cify of
Fort Wor#h Zoning Ordinance.
"Eligi6le F2ehabili#atian" includes only ph�ysica� improvements to real proper�y. E3igibl�
Rel�abilitati�n does NOT include personal proper�y (such as furniture, a���iances, equipment,
andlor supplies).
"Gross Floor Area" is measured by takin� the outside dimensians of the buiiding at each flaor
level, except tf�at portian of the basement used only for ufiliti�s or storage, and any areas within
the b�ilding used for off-street parking.
"Minfrnum Building Sfandards Cade" is Article fV of the Fort Wo�th Cify Code adopted pursuant
to Texas Locai Government Code, Chapters 5�4 ar�d 2�4.
"Minor'rty Business Enterprise (MBE')" and "Women Business Enterprise {W6E)" is a minarity or
waman owned business that nas received certificafion as either a certified MBE or certified
WBE by either the North Texas Regional Certificafian Agency (NTRCA} or fhe Texas
Department of Transportation (TxDvt), Highway Division.
"Mixed-Use Development Project" is a dev�elapment project which proposes to construct nr
rehabilitate mixed-use facilities in whicf� residential uses eonstitute 20 percent or more of the
total gross fioor area, and affice, eat�ng and entertainment, andlor retail sales and service uses
coristifute 10 percent or more of the iotal gross flaor area and is an prop�rty that is (or meets
the r�quir�rn�nts to be} zoned mixed-use as described by the City of �ort Worth Z�ning
Ordinance.
"Muli�i-family Develapment Project" is a development project which proposes to construct or
rehabilitate mulfi-family residential living units on property that is (or meets the requirem�nts to
be) zoned multi-family or mixed use as de#ined by the City of Fort Worth Zoning Ordinance.
"Reinvestment Zone" is an area designated as such by the City of Fori Worth in aecordance
with the Praperty Redevelopment and Tax Abatement Act codified in Cf�apter 312 of the Texas
Tax Code, or ar� ar�a designat�d as an enterprise zane pursuanf to the Texas Enterprise Zone
Act, codified in Chapter 2303 of the Texas Government Cade. `
�
I!
MUNIGfPAL PROP�RTY iAX A�AiEIU�ENTS
R�,SI��NiIA� PROF�ER71�S �OCAiE� IA! A NEZ: 4�ULL A�A��Nf�Ni �OR �
Y�ARS
1. For residential property purchased befare NEZ designation, a�omeowner shall be
eligible fo apply for a tax abatement by meeting the fo�lowing:
a. Property is owner-accupied and th� primary residence of the homeowner prior to
the final N�Z designation. Homeowner shall provide proof of ownership by a
warranty deed, af�idavit of neirship, ar a probated wifl, and shalf show ��oof ofi
primary residence by hamestead exemp#ion; and
b. Homeowner must perform Eligible Rehabilitation on the property after NEZ
designafiian equal to or in excess of 30% of the Base Value of tha prap�rty; and
c. Prop�rty is not in a ia� delinquent status w}�en ff�e a�atement applicatEan is
�submitted.
2. For residential property purchased after N�Z designation, a homeowner shall be
eligi�le fo apply for a tax abatement by meeting the faflowing:
a. Property is newfy constructed or rehabilitated after the date of finaf NEZ
� desigr�atian; and
b. Praperty [s owner-occupied and is the primary residence of the homeawner.
Homeowner shail provide proof of ownership by a warranty deed, affidavit of
heirship, ar a prabated will, and sF�all show praaf of primary residence by
homesiead exemption; and
c. For rehabilitated property, EligibEe Rehabilitation casts an the property shal[ be
equal to or in exc�ss of 30% of ihe Base Vaiue of the property. T�e seller or
owner shall provide the City infiormation to support rehabifitatian costs; and
d, Properly is not in a tax-deiinquent status when the a�atement applicatian is
submitted, and
e. Property is� in conformance with the City of �'or# Worfh Zoning Ordinance. �
3. Far investar owned single family praperty, an investar sF�all be eligible to apply for a
tax abatem�nt by meeting the following:
a. Property is newfy constructed or rehabilitated by the investar after NEZ
designation; and
b. For re�abiiitated property, EEigible Ref�a�ilitatia� costs on the property st�all be
egual io or in excess of 3D% af tF�e Base Value of the pro�erty; and
c. Property is not m a tax-delinquent status when the abatement appfication is
submitted; a�d
d. Praperiy is in confarmance with the City of Fort Warth Zoning Ordinance.
�. NiU�Tio�'AIV�i�.Y D�VE�OPiVi�NT PROJ�CiS LOC�.TE� !fV A N�
1. �'ull Abatement for 5 years.
In order to 6e eligibfe for a property fax abatement, upon complefion, a newly
c�nstructed or re�a�ilitated mufti-family develo}�ment project in a NEZ must satisfy
the foflowing:
A# least twenty �ercent (2Q%) of the total uni#s constructed or rehabi[itated shall
be affordab�e (as d�fined by the U. S. Department of Housing anc! Urban
Development) to persor�s wifh incomes at or below eighty percent (80%) of area
mediar� income based on family size and s�c}� units shall be set aside for
persons at ar l�elow 80% af the median income as de�ned by the U.S.
Department af Housing and Urban Development, City Council may waive or
reduce the 20°/d affordability req�iremenf on a case�by-case basis; and
{a) For a multi-family development project constructed affer NEZ �esignatian, the
pro�ect must pro�ide at least five (5} residential fiving un�ts OR have a
minimum Capita� �nvestment of $200,Q00; or
(b) For a rehabilitation project, the property must be rehabiliiated after NEZ
designation. Eligible Rehabilitation costs on the property shall be at feast
30% of tf�e Base Value of the properly. SucF� Eligible Rehabilifation costs
must come from the rehabilitation of at least five (5) residerttial living un�ts ar
a minimum Capital En�estm�nt af $200,000.
2. 1%-100°/n Abatement of Cify Ad Valarem taxes up to 10 years
lf an applicant applies for a fax abatement agreement �rvith a�erm of more than five
years, this section shall app�y.
Abatements far multi-famiEy development �rojects for up to � D years are subject to
City Council appro�al. The applicant may appfy Vuith the Housing Department for
such abatement.
Years 'I throuah 5 of the Tax Abafiemeni Aqreemeni
Multi-family projects shall be eligible fior 1 DO% abatement of C�ty ad valorem taxes
for years or�e through fiive af fhe Tax Abatement Agreement upon the safisfaction of
the following: -
At least tw�nty percent (20%) of the tvtal units eonstrt�cted or rehabilitated shall be
aifordable (as defined by the U. S. De�artment of Housing and LJrban Deve[opment)
to persons with irtcames at or befow eighty percent (SQ%) of area median income
based on family size and such unifs shall be set aside for gersons at or below 80% of
the median incom� as defined by the U.S. Departmer�t af Housing and Urban
Deveiopment. City Co�r�cil may waive or reduce the 20% affordability requirement
on a case-by-cas� basis; and
a. For a multi-family developmet�t project co�structed aft�r NEZ desi�nation, fhe
project musf provide at least fi�e (5) residential �iving units OR ha�e a minimum
Capital Investment of $200,000; ar
b. For a rehabilitatian proJect, the properry must be rehabilitated after NEZ
designation. Eligible Rehabilitation costs on #he proper�y shall be at leasf 30% of
the Base .Value of the proper�y. Such Eligib�e Rehabififia#ian costs must come
from the rehabifitation of at least fve {�} residential living units or a minimum
Capifal lnvestment of $2Q0,�04.
Years fi throuah 1 D ofi the iax Abatement Aqreement
Multi-�amily projects shall be eligible for a 1-100% abatement of City ad valarem
taxes for years six through ten of the Tax Abafement Agreement upon the
satis#action of the ft�llowing:
a. Af least twenty p�rcent (20%) of the totaE units constructed or rehabi3itated s�all
be affordable {as defined by fF�e U. S, Depar�ment of Ho�sing and Urban
Develapmenf) to parsans wifF� incomes a� or below eigf�ty p�rcent (80%} af area
4
median income based on family size and such units shall be sef aside for
persons at flr below 80°/a of the mediar� inc�me as de�ined by the U.S.
Department of Hausin� and Urban Developme�t. City Council may waive o�
red�ce the 20% affordability requirement an a case-by-case basis; and
1. For a multi-family development projec# constructed after NEZ designa#ion, the
projec# must provide at least tive {5) residen�ial iiving unifs OR have a
minimum Capital Investment of $200,Oa0; or
2, For a re�a�ilitation project, the property must be rehabilitated af�er NEZ
designation. �figible Rehabifitafinn cosfs on the property shall be at feast
30°fo of the Bas� Value af the property. Such EligibEe Rehabifitation costs
must come from the reF�abilitation of at leas# fi�� (5) resider�tial living unifs ar
a minimum Capita� Investment of $2DO,D00.
b. Any other terms as City C�uneil of the City of Fo�E Wor�[� de�ms appropriate,
ir�cluding, but not iimited to:
1. utilizatian of Fort Wo�th companies far an agreed u�on percentage of t}�� total
costs for constructian contracts;
2. utiiization of certified minarity and wamen owned business enterprises for an
agreed upan percentage of the tofial cos#s for construciion contracts;
3. property inspection;
4. commit to hire an agreed upnn percentage of Far� Warth residents
5. commi# to� h9re an agreed upon percentage of Centraf City residents
6. landscaping; .
7. tenant sel�c�ion plans; and
8. management pfans.
C. CO�IIM�RCIf�I�, fIVDUSTRI�L Af�D C�{4AIV�U�lITY �'�►C1�ITI�S 9�V��OPIVI�NT
PROJ�GYS �OCAT�� IN A IdEZ
1. Ful! Abatament for 5 years.
In order to be eligible for a property tax abatement, a newly construcfed ar
rehabiiitated commerciaElind�strial and eomm�nity facilities de�elopmeni project in a
NEZ musi safisfy the following:
a. A commercial, industrial ar a cammur�ity facifities development praject
constr�c�ed after NEZ designation must ha�e a minimum Capital Investm�nt o�F
$75,000; or
b. For a rehabilitation projecf, it must be rehabilifated after NEZ designation. Eligible
Rehabilitati�n c�sts on the praperty shall be at least 3Q% of the Base Value af
tt�e property, or $75,0�0, whichever is greater.
2. 9%-100% Abatement af City Ad Valorem taxes up to � 0 years
[f an applicant applies for a fax abatement agreement with a term af more than five
years, this section shall apply.
Abatement agreements for a Commercial, Indusfria[ and Community Facilities
Develapment projects fiar u� to 10 years are s�abject to City Cauncif approvaL The
5
applicant may appfy with fF�e Economic and C�mmunity De�elopment �epartment for
such abafement.
Y�ars 1 thraunh � of the iax Abatement Aqreement
C�mmercial, Industrial and Community Facilities Develapmanf projects shall be
eligi�ale for 100% aba�ement of City ad valarem taxes far t�e first five years of #he
Tax Abatement Agreement upon the satisfaction af �he following: ,
a. A cammercial, indusfrial or a camrnunity facilities de�elo�ment project
constructed afiter NEZ designation must F�ave a minim�m Capital Envestment of
$7�,000; or
b. For a rehabilitation project, it must be rehabi�itated after NEZ designatia�. �figible
Rehabilitation costs on the properiy shall b� at least 30% of tF�e Base Value of
the property, or $75,OQ0, whichever is greater.
Years 6 Ehrauqh 10 of the 'Tax r4batemen� �►areement
Commerciai, Industrial and Community Facil�ties Development projects shall be
eligible. for 1%-100% abatement of City ad valor�m faxes for years six through ten of
the Tax At�af�rrient Agreement upon the satisfaction af the fallowing:
a. A commercial, industrial or a community facilities devefopment projecf
constructed after NEZ designation must hays a minimum Capital Investment of
$75,000 anc� must meet the requirements of subsecfian (c) below ; or
b. For a reha6ififation project, it must be rehabiiitated after N�Z designation. Eligible
Rehabilitation costs on #he praper�y shall be at least 30% of the Base Value of
the property, or $7�,000, whiche�er is greater and meet the requirements of
subsection (c) belflw.
c. Any other terms as City Councii of the City af Far� Wor�h deems appropriate,
incluc�ing, but not limifed to.
1. utilizafiion of Fort Worth companies for ar� agTe�d upon percentage af fhe total
costs for construcfion contracts;
2. ufiiiza#ion of certifiecf minority and women owned business enferprises for an
agreed upan percentage of the fotal costs for construction contracts;
3. commit to hire an agreed upan percentage of For� Worth residents;
4. commit to F�ire an,agreed upon p�rcentage of Central City residents; and
5. landscaping.
D. NiIX�D-U5E ��l�E�OPIVi��Vi �ROJ�CTS L�OC�o7�� IN A RlEZ
1. Full Abater�-ient for 5 y�ars.
In order ta be efigibfe for a property tax abatement, upon completion, a newly
constructed or rehabilitated mixed-use de�elopment project in a NEZ must safisfy the
following:
a. Resid�nfial �ses in t�e project canstitute �0 percent or mare of the total Gross
Floor Area of the �roject; and
b. Office, eating and er�tertainment, andlor retaif saies and service uses in the
proj�ct canstitute 1 a percent ar more of the total Gross F1oor Area of the project;
and
0
(1) A mixed-use develo�ment project constructed after NEZ designatior� must
have a minimum Capital Inv�stment of $2QQ,ODO; or
(2} For a rehabilitation praject, it must be rehabilitated. after NEZ designation.
Eligible Rehabilitation costs on the properEy shall be .at ]east 30% of the Base
Vafue of the property, or $204,000, whichever is greater.
2. 1%-100% Abatement of City Ad Vafarerr� taxes up tfl 1 D years
If an applicant applies for a tax abat�ment agr�ement with a term of more than five
years, this secfion shall a�ply.
Abatements agreements for a Mixed Use Developmenf prajects for up to 10 years
are sui��ect to City Council approval. The applicanf may apply witF� #he Economic and
Cammunity Develapment Departmertt for such abatement.
Years 1 throuqh � af ihe `�ax A,batiement Aareement
Mixed Use Development projects shall be eligEbfe for 100% abatement of City ad
vaiorem taxes for the first fiv� years of the Tax Abatement Agreement upon the
sa#isfaction of the following:
a Residentiai uses in the project constitute 20 percent or r�ore of tf�e total Gross
Floor Ar�a of ihe praject; and
b. Office, eating and �nter�ainment, andlor retail sales and service uses in the
project constifute 10 percent or more of t�e total Gross �'loor Area of the praject;
and �
c. A new mixed-use developmeni project constructed after NEZ desEgnation must
have a minim�m Capital In��stinent of $2DO,OOQ; ar for a rei�abilitation projecf, it
�must be rehabilitated after NEZ designatior�. Eligible RehabilifafEon cos#s on the
property shall be ai I�ast 30% af the Base Va[ue of the prape�y, or $200,000,
whichever is greater.
Years 6 throuah 10 of the �ax Abatemen4 Aareement
Mixed Use Development projects shall ba eligible for 1-10a% aba#em�nt of Clfy ad
valorem taxes far years six thraugh ten of the Tax Abatement Agreement upan the
satisfaction af tne following:
a. Resider�tial uses in the praject constitute 20 percent or more af the total Gross
�loar Area at tl�e prvject; and
b. Office, eating and er�tertainmenf, and{or reiail sa[es and service uses in the
praject constitute 10 percer�t or more of �he tatal Gross F'ioor Area of the project;
c. A new mixed-use developmen� project constructed aft�r NEZ dEsignation must
na�e a minim�m Capital Investment o�F $200,000; or for a rehabilitation project, it
must be rehabilitated af�er NEZ desigr�atio�. Eligible Rehabilitation casts on the
property shall be at least 30% of the Base Value of fhe }�ro�erty, or $200,000,
whiche�er is greater; and �
d. Any ather terms as City Cauncil of the Gity of Fort Wo�h deems appropriate,
including, buf not �imited to:
1. ufilizatian of Fart Worth companies for an agreed upon percentage of the
totaf cos#s for constr�ction contracts;
7
2. utilization af certified minority and women owned business enterprises for
an agree� upon percentage of the total casts for construction canfracts;
3. properky inspection;
4. commif to hire an agreed upon percen#age ot l=ort Wor�h residents
5. commit to hire an agreec! upon percentage of Central City residenfs
6. lan�sca�ing;
7. tenant selection plans; artd
8. management plans.
�. A�ATEii��Ni GUI��LIPl�S
1. If a NEZ is located in a Tax Increment Financing Dis�rict, City Cauncif wi(I determine
on a case-by�case basis if the tax abatement incentives in Section f!I wiil be offered
to efigible projecfs. �ligibfe proj�cts must meef afl e�igibiiity requirements s�ecified in
Section I11.
2. In order to be eiigible to a�aply for a tax abafement, the property ownerlde�eloper
must:
a, No# be delinquent ir� paying property taxes for any proper�y owned by the
owner/deve�oper ; and
b. Not have any Cify of Forfi Worth lie�s fii�d against any properly owned by tF�e
applicant pro�erty awnerldevefaper. "l.iens" include, but are not limited to, weed
liens, demolition Gens, board-�plopen structure liens an� pa�ing �iens,
3. Proper�ies under a contract for deed are nat e[igible for tax abatemant.
4. Once a NEZ property owner ofi a residential property (inciuding mulfi-familyj in ihe
NEZ sat�sfies the criferia set fo�#h in Sections III.A, E.1. and E.2. and appiies for an
abatement, a praperty owner must enter �nto a fiax abafement agreemen# w9th the
City of Fori Worth. The tax abatement agreement shalf automatically terminate if th�
property subject to the tax abatement agresment is in violation of the City of �'art
Worth's MinimUm Buiidi�g Standards Cod� and the owner is eonvicted of such
violafion.
�. A tax aba#ement granted �nder the criteria sefi farth in Sec�ion 1[I. can oNy ba
granted once for a praperty in a NEZ for a maximum term af as specified in the
agreement. If a praperty on wF�ich tax is being abatec� �s sold, the City rnrill assign the
tax a�atement agreement for fhe remaining term once the new �wner submits an
applicatian.
6. A property ownerlde�elaper of a multit'ami�y development, cammercial, indus#rial,
eommunity facifities and mixed-use de�efopment project in the NEZ who desires a
tax abatement under Sections III.B, C or D must:
a. Sa�isfy the criteria set forth in Sectians lll.B, C or D, as applicable, and Sections
II1.E.1 E.2; and L�3. and
b. File an appfication with the Housing Department or the Economic and
Community Development Department, as applicable; and
0
c. The property owner must enter irtto a tax abafement agre�ment wi�h the City of
Fart Worth. In addition fo the other,terms o� agreement, the tax abatement
agreemeni shaH pro�ide fhat the agreement shail a�fomatically ferminate if tt��
owner recei�es ar�e convicfion of a violation of the City of Fort Worth's Minimum
Building Standards Code r�garding the praper�y subject to fF�� abatement
agreement during fhe term of the tax aba#em�nfi agreement; and
d. If a praperty in the NE� on w�ich tax is being abated is sold, the new owner
may enter infa a tax abatement agreement on the property for the remaining
term.
V�. ,00�PLICATION �'��
1. The applica�Ean fee fior residenfial tax abafements governed under Sectivn IIi.A is
$25.
2. The application fee for multi-famify, commercial, indt�stria�, corr�muriity facilities and
mixed-use de�elopm�nt projects governed under Sectians III.B, C.1 and D.'[, is on�-
half of one percent (0.5°/a) of the p�-oposed projecf`s Capital In�estmer�t, not to
exceed $1,D00, The application fee wilf be refunc�ed upon issuanc� af certificate of
fiinaf occupancy and o�ce the property owner enters inta a tax abatement agreement
with the City. Otherwise, the Applicatian Fee shal! not be credited or ref�unded to any
party for any r�ason.
IV. I��� WAlVE�S
�1. ��ICI�L� �EC�PI�N�SI�ROP�RiIES
�. In order to be eligible to apply for fee waivers, the praperty own�rlde�elope�- must
a. Not be delinquent in paying praperty taxes foT any property awned by tf��
ownerldeveEaper ar applicant; and
b. Not ha�e any City ii�ns filed against any property owned hy the applicant praper�y
own�rlde�eloper, includi�g but not limited fo, weed liens, demolition iiens, baarc!-
up/open s�ructura fiens and paving iiens,
2. Properties under a contract for deed are not eiigible for deveiopmeni fee waivers.
3, In arder for Developme�t Fees andlor Impact Fees to be wai�ed for new construction
or rehabilita#ion projects located in ihe N�Z, a property awner must su6mit an
a�plication to the City.
Approval of the aoalication and waiver of the fees shal[� no# be deemed to be
approval of anv aspeci af ihe qroiect. �efore constructian. �he apnlicanfi mus�
ensure �hafi �he proiect is located in fihe correct gonina disfricfi.
�. 9�V�LOPii�FfVT F��S
Once the Applicafion for NEZ Incen#ives has bee� approved by the City, the following
fees for services perForme� by the City of Fort Worth for proj�cfs in the NEZ are waived
for new construe�Eon pro�ects or rehab�litafion pro}ects i�ai expend at least 30% of the
Base Value of the property on Eligibie Ref�abi�itafion costs:
�. Afl building permit relate� fees (includi�g Plans Review and inspections)
2. Plat application fee (including concept plan, preliminary plat, final pfat, short form
replat}
3. Board af Adjustment application fee
4. Demolition fee
�. Structure mo�ing fee
6. Communiiy Faci[ities Agreement (CFA} applicaiion fee
7. Zoning applicafion fee
8. Street and utility easerr�enf vacation ap}�iication fee
Other de�elapment related fees nofi specified above wil� be considered for approvaf by
City Council on a case-by-case basis.
C. 114��,RCT F��
�. Singie �amily and multi-fiami�y residential deveEoprnent projects in the.NEZ.
Automafic � 00°fa waiver of water and wastewater impact fees wili be applied.
2. Commercial, ir�dustrial, mixed-use, ar cammunity facility devalopment prajects in the
N EZ.
a. Automafic 100°/4 waiver of water and wastewater impact fees up io $55,000 or
egui�aient #o two 6-inch meters for each cornmercia�, industrial, mixed-use or
community faciiity develo�ment projecf.
b. If the project reguests an impact fee waiver exceeding $�5,000 ar reqUesting a
waf�er for larger andlor mare thari two 6-inch meier, then City Council approval is
rec�uired. App[ieant rrEay rec{uest the additiona( amount of iTnpact fee waiver
through the Hausing Department. .
1!. ��LEAS� 0�' C1iY'�I�3VS
The foliowing City liens may be reieased for eligible properties or prajects �n a NEZ:
A. 1lII�E� LIEi�S
The fa�lowing are eligible to apply for refease of weecf liens:
1. Single unit ow�ers performing rehabilitation or� their praper#ies.
2. Buiiders or developers constructing new homes on vacanf lots.
3. Owners performing rehabilitation on multi-family, commercial, industrial, mixed-use,
or community facifity properti�s. _
4. Developers constructing new multi-family, cammercial, industrial, mixed-use or
cammunity facility development �rojects_
�. D�l4�OLl`�IDM L�[�NS
10
Builders or developers developing Qr rehabilitating a praperty are eligible to appfy for
release of demolition liens far up to $34,400. Release of demolition fierts in excess of
$30,000 is subject to City Council appro�a�.
C. �Or4R�-U�'IOP�N STRUCiUR� L.I�NS
The followir�g are eligible to apply for release �f baard-uplopen structure liens:
�. Single un�t owne�s performing rehabilitatian an their properfies.
2. = Builders or de�elopers cons#ruCting new single family �omes on vacant lots.
3. Owners performing rehabilitation on m�alti-famify, commercial, industria�, mixed-use,
ar community faciliiy �roper#ies.
4. Developers constructing multi-famiiy, cammercial, industrial, mixed-use, or
community faciiity prajects.
D. �AVING �.1�NS
Th� fallowing are elFgible to apply for refease of paving liens:
1. 5ingle unit owners performing rehabiiitatian on their properties.
2. B�iid�rs ar de�e�opers constructing n�w homes an �acant lots.
3. � Owners performing rehabilitat�an on mulfi-family, commercial, industrEa[, mixed-use,
or cnmmunity facility properties.
4. De�elopers constructing multi-family, commercial, industrial, mixed-use, or
cammunifiy facility projects.
�. �LIGI�L� �R�CIPl�Ni51��OPERiIES
�. In order to be eligible to apply far refease of City liens, the proper�y awnerldeveloper:
a. must not be delinquent in paying property taxes for any property awned by
fhe ownerlcfeueloper _
. b. rnust r�Qt t�ave been sUbject to a Building Stantfards Commissian's �rder of
Demolition wt�are the proper�y was demolished within the last five (5) years; and
c. must not ha�e any City ofi Fort Wor�h liens filed against any nther property own�d
t�y the applicant proper�y ownerldeveloper. "Liens" includes, but is not limited to,
weed [iens, d�ma�itian liens, baard-u�lopen structure liens and pa�ing fiens,
2. Prope�ties under a contract for deed ar� not eligible for release of City liens.
VI. ���C�DU�,�L S7��S
A. A►P��IC„+S►►�ION 5iJ�1VIESSI�IV
TFre appficant for NEZ incentives unde� Sec�iQns iILA, B, C. D., IV, and V must
complefe and submit a City of Fori Worth "Application fc�r NEZ [ncentives" and pay
the appropriate application fee to the Housing Depar�ment or the Economic and
Cornmunity Development Departmen#, as applicabie.
19
2. The applicant for incen#ives under Sections III.C.2 and D.2 must also complete and
submit a Cify of Fort Warth "Application for Tax Abatement" and pay the appropriate
applica�ion fee to the Economic and Comrnunity Development Departmen#. The
appiicatian fee, review, evaluatifln and approval will be go�erned by City of Fort
Worth Tax Abatement Policy Statement for Qualifying De�elopment Projects.
�, C�RT�FiCAiIONS �OR A�'P�ICAoiIOWS UN��R S�CTIONS III./�, �, C.'�, �.1, IV,
AN � V
1. The Hausing Departmenf wiil review the appficafion f�r accuracy ancE
compieteness. Once comple�e, Housing Depar�ment will certify .eligibilify of the
applica#ior� based on the criteria sef forif� in 5ection EI1. A, 8, C.1, D.1, iV, and V ofi
this paficy, as applicable. Once an applicatia� is certified, the Housing Department
wiif inform apprapriate departm�nts administering the incenfi�es abaut the certifed
application. An orientation meefi�g with C�ty departments and the appficant ma�r be
scheduled. The departments include:
a. Housing Department: property tax• abatemenf for residential properties and multi-
family rlevebpment projects, release of City liens.
�. Economic and Cammunity Devel�pme�t Depariment: property �ax abatemenf for
commercia[,
industrial, community facili#ies or mixed-use de�efopmer�t prajects.
c. Development Departm�nt: dev�[apment fee waivers.
d. Water De}�ar�ment: impact fee waivers.
e. Other appropriate de�artments, if applicabfe.
2. Once De�elopment Depar�me�t, Water Department, Economic artd Cammunity
Develapment Depar�ment, and/or other appropriate department receive a certified
application from the Hausing Departmen#,_ eacn d�partment/office shal! fill out a
"Verifica#ior� of NEZ Incentives for Certified NEZ Ince�tives Applfcation" and return it
fa ihe Housing Deparkment for record keeping and t�acki�g.
C. AP�LIC�►TID[d RF1li�Vl! ,�ND I�VA[�UATION FOR ,APPLICATfONS
1. Property Tax Abatement fflr Res9denfial Proper�ies and Multi-family DevelopmeRt
Projects .
a. For a comp�et�d and certified appficatio� for no more than �ve years af tax
a�atement, wi�h Council ap�raval, the City Manager shall execute a tax
abatement agreement with tF�e applicant.
b. For � campleted and certified multi-family development project application far
more than f�e years of tax abatement: .
{1) The Housing Departmenf wil� e�aluate a campleted and cer�i�ied applicatian
based on:
(a} The project's increas� in the value of the fax base.
{b) Costs ta the City (such as infrastructure participatian, etc.).
(c) Percent of construction contracts committed to.
(i) Fort Worth based firms, and
(ii) Minority and 1Nomen Owned Business Enterprises (MIWBEs}.
(d) Other items which may he n�gatiated hy th� City an� the applicant,
12
(2} Cansideration by Cauneil Commit#ee.
Based upan the o�#come ofi the evaivation, Housing Department may present
the application to tE�e City Council`s �conomic Developmeni Committee.
Should the Housing Departmenf present the appfication to the Ec�nomic
Develo}�ment Committae, fhe Committee will consider tF�e application at an
apen meeting. The Committe� may:
{a} Apprflve the application. Staff will fhen incorporate the application into a
tax abatement agreement w[�ich wi�! be sent to the City Council with fhe
Committee's recommen�ation to appro�e �F�e agreement; or
(b) Request modificatiflns to the app�ication. Ho�asing De�artment staff will
discuss the suggested mo�ifications with the applicant and then, if fhe
requested modifica#inns are made, resubmit the modified a�plication ta
the Committee for eonsideration; or
(c} Deny the app4icatior�. The appiicanf may app�a� the Committee's tinding
by requesting the City CounciE ta: (a) disregard the Committee's finding
and (b) ins�ruct city staff to incorpflrate the appficafiion into a tax
abatement agreem�nt for futurE consideratior� by the City Council.
{3) Cansideration by the Ci#y Councl
The Cify Cflunci3 retains sofe authority to apprave or deny any tax abatement
agreement and is under no obligation to appro�e any tax abafement
appfication or tax abatement agreemenfi. The Ci#y of For� Worth is under na
obligation to pravide fax abatement in any amount or value to any applicant.
c. Effective Date far Approved Agresments
Al� tax abatements approved by the Ci#y Counci[ will become efFecfive on
January 1 of the year folEowing the year in which a Cer�ificate of �ccupancy (C�)
is issued for tF�e qualifying de�elopment project (unless otherwise specifi�d i� the
tax abatement agreemenf}. Unless ntherwise specified in the agreement, faxes
levied during the construction a# the projeci shall be due ar�d payabfe.
2. Property Tax Abatement far Gommercial, Industrial, Cammunity Facilities, and
Mixed-Use Development Projects
a. F'or a completed and certified application for no more than ti�e years of tax
abatement, with Council approval, the City Manager shall execute a tax
abatemenf agreement witF� the applicant.
b. Far a campleted and certifiec! applicatian for more than f�e years of tax
abatement:
(1) The Economic and Cammunity Deve[opment Depar�ment wilf evaluate a
completed and cer�ified application based �n: �
(a) The projecf's incr�ase in the value of the tax bas�.
{b} Costs to fhe City {s�tch as infrastructure participation, etc.).
(c} Percent of construction contracfis committed to:
{i) Fort Wor�h based firms, and
(ii) Minority and Wornen owned Business Enterprises (MIWBEs}.
(d) �ther items which may be negotiatecE by the City and the applicant.
'f 3
(2) Cor�s[deration by Councii Committee
Base� upon the outcome af the e�aluat�on, the Economic and Community
Developmeht Department may present the application to the City CounciPs
Economic Developmenf Commit#�e. S�ould the Economic and Community
Development Department preser�t the a�plicatian to the Ecanomic
Development Cammittee, the Committee will considsr the applica�ion at an
apen meeting. The Commiitee may:
(a) Ap�ro�e the applicafion. Staff wll then incorparate the appiicatian inta a
tax abatement agreement which wili be sent to tF�e City Council with the
Committee's recommendation ta approve the agreement; or
{}�) Req�est modificaiions ta fhe applicatian. Econamic and Commur�ify
De�elopment �epartment staff will discuss the suggested modifications
with fhe applicant and then, if the requested modifications are made,
resubmit tYte moditied application ta the Commitfee for consideration; or
(c) Deny the appiicatian. The applicant may appeal the Commiftee's #inding
by requ�sting the City Council to: (a) disregarcf the Committee's finding
and (b} insfruct city sfafF to incorporate the app�ication into a tax
abatemeni agreement for future consideration by t�e City Cauncil.
(3) Consideratiort by the City Councii
The Cifiy Councii retains snCe authority to appro�e or c#eny any tax abatemeni
agreement and is under no � abligation to approve any tax abatement
application or tax abater�ent agreement. The City of F�rt Worth is und�r na
obliga#ion to pro�ide #ax abatement in any amount or vaiue to any applicant.
c. Effective Dafe #or Approved Agreemenfis
Ail fax abafements approved by the City Council will become effective on
January 1 af ff�e year following the year in which a Cer�ificate ofi Oceupancy (CO)
is issued for the qualifjrir�g devefopment pro�eci (unless athenrvise sp�cified in the
tax abatement agreement}, llnless otherwise specified in the agreement, taxes
levied during th� construction of the project shall be due and payable.
3. Developm�r�t Fee Waivers
a. For certified applications of development fee waivers that do nat req�ire Council
a�provaf, th� De�elopmen# Department wii! review the certified applicant's
application and grant appropriate incentiv�s. .
b. For certified appfica�ions o# development fee wai�ers that require Council
approval, City staff wil! re�iew ths ce�tified app�icanf's application and maice
appropriate recommendations to the City Council.
4. Impact Fee Waiver
a. For cer#ified applications af impac� fee waivers that do r�ot requife Council
ap�roval, tF�e Water ❑epartmenf will re�iew the certified appiicant's applicatian
ar�d grant appropriate incentives.
44
b. For cer�ified applications of impact fee waivers that require Counci� appro�al, the
Wafer Department wiil review the ceriified applicant's applicatian and make
apprflpriate recorrtimendafions to the City Council.
5. Release of City� Liens
For certified a�aplications of release of City lie�s, i�e Housing Deparfinent will release
the appropriat� fi�ns.
VlI. OTH�R RU�,�S PERiAINING i0 �RO��R`TY �AX A��T�M�N�
A. R�CAPiUR�
If tF�e terms of fhe tax abatement agreement are nnt met, the City Council has the right to
cancel or amend the abateme�t agreement. In the event af cancellation, the recapture af
abated iaxes shall be limited to the year{s) iR which fF�e defaulf occurred or continued.
�. IF�SPECiION AAl9 �1NAf�Ci�►L 1/��tIFICATION 1�OR MULTI-I��MILY, COMIVi�RCIAL!
IIV�USYf�IAL, CANiNiUPIIT°Y FACf�[iI�S AIVD �IfIX���US� ��1I��O�iVI�IV�
�ROJ ��G�S
The terms of the agreement shall include the City of �o� Worth's right ta: (1) r�vi�w and
�erify the ap�licant's financial sfatements ir� eacY� year du�ing the life nf fF�e agreement
prior ta granting a tax abatemen# in a�y given y�ar, (2) condUct an on site inspecti�n af
the project in-each year during the life of the abatement fo �erify com�lianc� with tF�e
terms of the tax a�atement agreement.
C. �VALUATIOP! �OR MULiI���►M1�Y, COIV�l91fERCl/'eLl IFIDUSYRlA1., COMiViUNI�Y
�ACI�IiE�S /�ND MIXED�USE D�1l�L�Pfl111�NT PROJ��iS
Upar� cflmpletion of cons#ruction ofi the facilities, the Ci#y shail no iess than annually
e�aivate each project receiving abatement to insure compfiance witf� the terms of the
agreement. Any inc[dents flf nan-compliance will be repa�ted tfl the City Cauncil.
On or before I�ebruary 7st of e�ery year during �he life ofi the agreemenfi, any
indi�idua[ or entity receiving a tax abafiement fram the City af �art lNvrth shall
pro�ide information and documentation whicf� detail� the property awner's
compliance wit� fhe terms of �he respective agreement and shall certify that fihe
owne� is in compliance wif� each applicable �erm of �i�e agreement. Fail�re fo
report this information and fa pravide the r�quired certification by the abo�e
deadline shall result ir� cancellation of agreement and any fiaxes aba�ed in the
prior year being due and pa�able.
D. �F��CT' OF 5�lLE, ASSlGIVM�NT 0�3 L�AS� O�' �ROT��RTY
If a properiy in ihe NEZ on which ta�c is beEng abated is sold, the new owner may enter
into a tax abatement agreement on the proper�y for the remai�ing term. Any sale,
assignmenf or lease of the pra�eriy which is nafi permitied in the tax abatement
agreement results in cancellation af the agreeme�t and recapture of any taxes abated
after th� dafe ar� which an ur�speci�ied assignment accurred.
�H�
VlII. O�H�� INCEf�i�V�S
A. Plan reviews af proposed de�elopment projects in the NEZ will be expedited by fhe
Develapmen# Depar�ment. �
�. The City Council may add tf�� followir�g incantiv�s to a NEZ in the Resolution adopting
the NEZ:
1. Municipaf sales iax refund
2. Homebuy�rs assistance
3. Gap fir�ancing
4. L.and assembly
5. Conveyance of tax foreclosure properties
6. Infrastructure improvements
7. Suppor� for Low [ncome Hausing Tax Credit (�IHTC) ap�aications
8. Land use inc�ntives and zoni�glbvilding code exemptians, e.g., mixed-use, density
bonus, parking �xemp#ian
9. Tax Increment �inancing (T!F)
10. Public Impravement District (P1D)
11. Tax-exempt bor�d fina�cing
12. New Model Blocks
13. Loan guarantees
14. Equity investmenfs
15. Other ince�tives if�at will eff�ctuafe tl�e in#ent and purpases af NEZ.
1fi
Exhibit B
3133 Eastcrest Caurt Lot 2, Block 2 Eastcrest Addition
Exhibit C
Project Description
Singfe Family Residenc�
90°/a Bricl� Veneer
1500-1900, square feet
3 �edrooms/2 Baths
Two car garages
Arched Wi�dows at Front of House
Front Yard Landscaped
Microwave w�th buil#-in Vent-A-Hood
Wood Burni�g Fire Place
B�iit-in Security System �
Computer Area with CPU & Printer with a dedicated telephone line
Vaulted Ceiling in Master Bedroom and Li�ing Room
F�rench Doors
Separate TublShower in Master Bathroom
Garden Tu� in Mater Bathroom
�aI�T �ORTH �
� �;-�--n
Application No. �� � � � � �
cr� aF FORT woR�rg
�rG�sox�raon �n�o�xz��T zor� �r�z� P�oc-x�
PROJECT CE�2TIFTCATI�N APPLICATION
� FORM � FOR Yl`�IVESTOR C}'WNERS (SINGLE FAl1'�TLY ONi,i�
— — — —• — —• —• — — — — — — — — — r — — — — —� — — — _. .
L. APP�ICATION CHECK LTST -
,P�ease submit the fouawing documentation with each pragexty xequested: �
� , a k G - J �. �. .: `' �L .
A completed�"appl�ca�iAn;��o�rn ��:'� ,
� �.; �-
• � . { h " h
� w�. �].: ' A list �sf.a.11=.pz�a�a��ties avvned,.by tize a.pplicant ixz Fart Wort�i �
.9 .�: . . , . _ �- ,
� Application fee of $25:�?0 �(�or ta�e abaiement agplications �onXy)
❑ Proof of ownership, s7ich as a wazraniy deed, a:ffidavit of heirship, ar a prot�ated will OR
_ evidence ofszfe�con�,ro�, sueh.as optionto b�iy - - ��
❑ � Title ab�tract�o£the property (�opfioua�}�- =' • ' '
For Rehabilitation I'zoie�fis Dnlv: � �
-❑ �'or a praject in the planning stag�, please submit a comnZeted set Qf Rehabilitat%on
.� �•'(t2.emodel� P_lan and a list cii eli�ible re�.a�Yliiatiori.�r�sts'�: �(€ar ap�vcations of ta� ,..
abatements and deveIopment fee waivers fox r��iab pr�jects azily)
❑ One� a projec� is comp�eted, please submit pravf of �the eligib�e rehabi�itation costs'� such
� as i�.voices, cont�ac�s, or �reaeipts. (for �pplications of tax abatemen�s only) �
'� Eligible rehabzlita.tion izicludes onl� physical improvements to rea2 property. It daes N4T inn2ude personal
property such as furaiture, applzances, equipment, axidJoz supplies. �'otal eligible re�abilita.tion costs shall cqual
to or exeeed 30% af ti�e 7'arrant Courity Appraisal Districf (TAD),appxaised valne of the struetnre during the
` year rehabilita�an occurs. "
x II. �.pplzcant / A.GFNT ZT�I��RM.�1�TT�N
�
_P .��
1. p,.pplicant: ` • �. Contacf Person:
. �+�.T�P-,T���l�?��J r� L��`i`�e�Txt��u � �L� C�6'�
3. � Address: f��� �
��..�i�AG��ti S�' �'rs� � i'�r ��1D2 .
. Stx-eet ` . iiy. ' State. 7i�p �
�, Phone no.: �I � � BT�-T�t� . - 5. Fax 1'�To.: ,�17 �P� �'� _ �
6. Emai�c �'�,4�r�� ���.��tr�'�, �'X: f�S � �.
7. Agenf (if �ny) . � '
S: Address. � � - - �
. � � S�eet
. , �.
9�. P�a�e no.: .0 �
1 � . Email:
�City State� Zi�
10. Fa� Na.: �
If yau need f�z�tk�er information or clarificatio�, please can�act Chnn-I Lu at (817} �'iX-73�1 ar
Bea Gura afi (S�.'7� 871-50�&. .
�
1
a
�
�QRT �ORTI� � .
TTI. PROPERTY ELTG�IL,rTY
1. �'lease list dawn the addresses and ]egal descr,ipt�ons of �� property �here yon are appIyxng
for NEZ incentives anci other properties you o�u in Fox� Wort}i. Attach metes and h�unds
descriptaan if no address or legal descxi�ption. is a�vailable.
(Praject Lacation}
Table � Praperty O�n�rshfp.
Address
Zip
Cade
Legal Description
S�bdivisiQn Loi No. Siack 1�Ta.
� - _ � ��/��° �t� - - . �� - - - - . - - �
� . .�
� � � � �°s�,�����,��:� - �:� �� I
j _ �'"�'�� . I � 1
! - --- -:- -�- �
(Piease attach additionai sheets of paper as needed.) � ' ,�
- Z. Fax �e�.ch pro�er�ies Iisted irt'Tabl�� 1;�please ch�k the bozes beluw to iniIfeate�if: .
+ th�re are iaxes due; ox ��� ' .
� there are City Iiens; or �„J � � �
� you hava been suhj•ect ta a Buildirig Standards Gammission's C�xder af Demoliiion where �h4
property was demolished vvi.t}ain the Iast five yeaxs. ��' . �
� Ta}a1e � .Prapexiy T'a�es and City Liens _ _ - -
,� Address ; Properfy Gity Liens an Propert� -
a, J
_,:: s.�;. _, � :�:.. ; _ Taxes �=�?eed Ba�d-up/Open � .Demalitian� Paving -� Or.derof•. ° �= .
,. ,�. . � . s ? , �. �_�.• � - .. `:Due �- � Liens ' "Stucture Liens � � I,�ie�as � . Li�ns � DemoTitifln- � . .. .
. � ❑ ❑ ❑ _ ❑ ❑ i� � .
A�� "",7'J �� '_gnw' : . � 1 -. L-.J. ��, : A„� .�17��� +,.:..4 - . �¢. .. - - "� � ' ; ❑ ❑ - �
��y . _ - :.�r. .�. � a�� - __ . o � - � � . . ❑ . _ o _ ❑� 1
. �- -- , - - . . - . - -Q .-- . -o �.� � � _ o � ❑ .
. o:- -o �:o . . . ❑ . ❑ fl
... _ � , : ❑ - ❑- o -r .. - .❑ � � � o � .
� . - — � _ ..a� ` _ � ' : S �.. ^ �Y --� s � � _— ❑ — �
� - o -❑ - ❑- - ❑ C� - ❑ �
.(Plexse attach addi�ional shee�s af paper as neecied.)
�, Dn you own a�h�r properi�es �nder other nanc�es? [J Y�s,�3y�'�'o
If Yes, please specify , .
4. Does the proposed der�elopm.ent co�far�n v�%ith Cit� of Fart Wortih Zotung? +[] Yes ❑ I*Yo
� � � � 5. Is�f.h�.s property under a contract for deed? [] Yes � ��o . . - - - ._ T
�
�
£ d F�C�RT �fJRTH
6. Has the construetion on f�e �xQperty been completed or is �t zzi the plann%�g stage? W�at
type of eanstr�tctian? .. �
❑ Const�ntct�on Cor.npleted �I Under Constructio�n �In Plannin� Stage
❑ New Canstruatio� [] R�hab [] New Consiruction � Rehab � New Constructiai� [] Rehab
7. Lf �ke consiruci�on an i�e property has been caxnpleted �vhen this applica�io� is snbmi�ted,
wheri was the woxk done? .
8. . xf it is a reltab property, dae� (or vviiI) �e rehab�litataon wnxk* done on fhe property eq�a.l
to $t least 30°!o vf the Tarxant County Appraisal District (TA.D) assessed value of the
structwre c�wring the year rehabilitation {remodel�d} accurred? ❑ Yes ❑ Na
*O�ly physi�al iYr.provemez��s to rea� properry i� eligible. AO NOT inciude persona� property
such as furniiure, appliances, eQuipment; andloz� sugplies,
�?'.� i�YNGE1�TiVES —� — — -- -- — • ; ., . . ., , . . . - • � � .
_ -.�•^ 1..V�ha�°iucenfives are �on aPp13'ing for?; - . �� - •
� 1Vlutiicxpa� Protaertv Tarc Abateme�:is -`�- � ' �
• Develot�m�ent Fee Waiv�rs � � �
� 1�1I build�ng pe�mit re�ated fees (�ncluding P�ans Review arid Inspectzoiis) j
How rnuch is you� total developm�ent costs? $.,�� ��"Z,,.J� �
� H4W I11llC�115 �1� t0�-I SC�LISie �00'�3�� Oiy011l prOj�Ct� �� squax�e �eet
,� � Plai application fee (in�Iu�ing concept plan, prelirninary plat, final pla�, short form replat)
� Board of Adjuefxn�nt a�plica�ion fee �
❑ I7exnolition fee �
".-. 0 Striictuie moving fee � � �
, .. � G`ornuiuzziiyFacilities:Agreement-(�FA) application:fee.,. _ ... . . _: �. ..
� � �aning a�pli�afiion £e� • � � � t � � . . : � . '
, � Street �n.d utility easemeni
�
� �muact Fee Wairrers . -
�: Tmpa�ct fee waiver �� _ - _ -
, ' Meter �i,ze ,��� �io�r many met�rs`? �� . _ .
' ReIease of Citv Liens
❑ V�Jeed Iiens :
' ❑ ' Bo�rd up/open stnz�cture izens, .
� � ' � [� .. Detnolitian liens
� � � ❑ Pa�ing liens
3
�
C
�
F
�
�D�T �ORTH
V. ACKNQWLEDGMENTS � � - - - - - - - -- - - �
i hereby certify that the informatian pravided is fxue and accurate to the best of my Ia�owledge. I hereby
acknawledge that I have received a copy of NEZ Basic xncentiv�s, rvhich governs the gzanting o�ta�
abateznen#s, fee��,a�v�Fs aud `release of City liens, and that any VZOLATION af the tez�ns p�'the �Z
Basic Iz3centives or MIS,REpRE�ENTATION shall constiiute grounds for rejcction of an appIication or
termination of iz�cen�ives af the disczetion of the City. �
I uz�derstand that the approval of fee waivers and other izxcer�tives shall not be deezne� to be approva� of
any aspect of the p.roj ect. T und.erstax�d fihaf I azn respon�ible in obtaining requued permits a.nd
�spections frozr� the City and in ens�ring the project is �acatec� in fhe carrect zoning district.
I agree to pravide anq additiozzal. in�'ormatian for d�tezznrning eligibility as requested by #he City.
, .� ��t � C. i�!/���;�' �,� �� .
(TYPED NAME) � - _ � .� ��>
{AiT ORIZE�7i S�GNATURE) ' A�
)
' T� -^'' � -_ '' � •,���: �: � - - • - ��.
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+� - Electronic versiozz of this ,for� rs availab�e by request. Please aall $17-871-738 � to request a co .
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For Office Use OnIy __ -- - --- - - --- --. -W
��p�]i�ahon No. .�
S�� �(� �' 7n which NE�'� �j� Confoz�n with Zonin � P� �
TAD,ID � ' � � � g� `;�.Yes [�No
� :� Contract for deed? .� ❑ y�s �p �.New cpnsiruotiaz� � rReY��b
�� No T � e2 �
Constr�ction completion date? ❑ Before NEZ ��. �Z �
-'�Q Ownership � � ye5 � C1 No
Rehab at or high�r than 3 Q�/? � y�5 � No Consistent v�riih the NEZ pZan?
Tax ctirrent on this_ ro e 7 �'�-'es 0 Np•
p. p�3' ��'es ❑ No Ta.7t currezzt o#� other ro �rti�s?
City iiens on this p�-nperiy? w,. ; p.� �'J Yesa� 0 No .�
City Iiens �on•oiher �operties? -
� Weed lien.s ❑ Yes � No � ,
Weer� liens ❑ Yes � No
� Board-up/open structnre Iiens ❑ Yes � No �� �
Board-up/dpen structure Iiens 0 Yes � No �
.� I�emolihon Iiens ❑ Yes X No �
0 DeiiTolition 2iens ❑ Yes �/] No
� Paving �iens ❑ Yes Q Na o Pavu�g Iiens „-
� �rder of demoIition ❑ '�'es [� Na
❑ Ycs Q No � Order af demolitian ❑ Yes (� No
Certified7 ❑ Yes ❑ No Certified by . Date cemfication issued?
If n�t certi�iec�, rea5on • ���°r' f��
1
Referred to; ❑Econamic Developxnent []Housin
-, _ _ _ _ g �Develo�ment (�,Water ❑Code 'rpw .
_ _ _ - - — - — — �.
Revis�d August 23, 2401 � ' ' �
�
�
City nf �o�t yYo�th, T'exas
Mayor �nd �ounc�l Comrr�un�cation
DATE R��'ERENCE NUMBER LOG NAME PAGE
.
' 9114102 ; �0�9 923� I 05NEZ � 1 of 3
- - -
SUBJECT AUTH�RIZATION TO ENT�R INTO TAX ABATEMENT AGREEMENTS WITH THE
�'c�.E�T V+��R�� ���E��1� FI��l4�.�.E t:��P�R�4Tl��v FOR THE DEWELOPMENT OF
51XTEEN SINGLE-FAMILY HOMES FOR THE EASTCREST SUBDIVISION �OCATED
1N THE STOP 51X NEICHBQRH40D EMPOWERMENT ZONE �
RECOMMENDATION:
It is recammended that the City Cauncil:
1. Approve the Fart Worth Housing Finance Corporation (FWHFC) applica�ian for Mun�cipal Praperty
Tax Abatement far the Eastcrest SubdivisiQn, and
2. Find thaf the statements set for�h in the recita�s of the attached Tax Abafement Agreements (tne
Agreements) with �'WHFC are true and correct; and �
3. Authorize tha City Manager to en#er inta tax abatement agreements wit�
of sixteen single-famify homes in the Eastcrest Subdivisiar� located in
Empowerment Zone (NEZ}, in accordance with the NEZ Basic Incentives.
I DiSCIJSSI�N:
FWHFC far the develapment
the Stop Six Neig�barhaad
The FWHFC is the developerlawner af the Eastcrest 5ubdivisEan in the 4740 Block of East Berry Street
and Eastcrest Gourt located in NEZ Na. t.
The FWHFC appiied for municipal property tax abat�ment under the NEZ Basic lncentives (M&C G-
9 3208R dated June 5, 2002, M&C G-13584 dated April 2, 2002, as amended, and M&C G-9 38BZR
dated July 23, 2��2, as amended). The Hous'rng Departmer�t has reviewed t�e application an� certi�ed
that the praperty meets the eEigibility criteria to r�c�i�e NEZ municipal property tax abatement. The
NEZ Basic Incenti�es offers a fi�e-y�ar municipal property tax abatemenf of the i�creased �alue of
impro�ements to a devefoperlowner af any new hame constructed within a NEZ.
Upon executian of the Agreements, the total assessed value of �ach hame in t1�e Eastcrest Subdiv�sion
used for calculating municipal property tax will be frazen far a five year period, starting on January 1, of
the year fiollowing tf�e year in which #he home is sold, at the pre-�mprovement �alue af each iat as defin��
by ti�e Tarrant Appraisal �istrict (TAD) nn January 1, 2002, as foll�ws:
� Pre-Improvement TAD Vafue afi lmprovements $ -0-
•. Pre-lmpro�ement TAD Value af Land $1,OQO�per fot .
+� Total Pre-Impro�ement TAD Value $1,000 per iot
�'ity of .�o�t Wor�h, Texas
Mayor and Councii Commu�ica�ia�
pATE ftEF�RENCE NUMSER LOG NAME PAGE
9110102 ��� g�3� aSNEZ � 2 of 3
suB�EC� AIJTHORIZATION TO EN ER INTO TAX ABATEMENT AGREEMENTS WITH THE
FORT WORTH HOUSING F'INANCE CORPORATION �OR THE DEVEL�PMENT O�
SIXTEEN S1NGLE-FAMILY HOMES F�R THE EASTCREST SUBDIVISION LOCATED
' 1N THE STOP S1X NEIGHBORHOOD EMPOWERMENT ZONE
Address
� 3100 Eastcrest Court
3�41 Eastcrast Court
3104 Eastcrest Cour�
� � 31 D5 Eastcrest Court
3108 Eastcrest Court
31 p9 Eastcrest Caurt
3112 Eastcrest Court
� 3�'�3 Eastcrest Court
3116 Eastcrest Caurt
3120 Eastcrest Court
312�4 Eastcrest Courk
3128 Eastcrest Court
3132. Easficr�st Court
3133 Eastcrest Courk
3136 Easterest Court
3137 Eastcrest Court
Leqal Descrip�io�
Lot 10, Block 1, Eastcrest Addifion
Lot 6, Block 2, Eastcrest Additian
Lot 9, Block 1, Eastcrest Additian
Lot 5, Block 2, Eastcrest Addition
Lot 8, Black 1, Eastcrest Additian
Lot �, Biock 2, Eastcrest Addition
Lot 7, Blocic 1, Easficresi Addition
Lot 3, Bla�k 2, Eastcrest Additian
L.ot�, B�ock 1, EastcrestAddition
Lot 5, Blacl� 1, Eastcrest Addition
L,at 4, Block 1, Eastcrest A�ditio�
Lot 3, B{ock 1, East�crest Addition
Lot 2, Bloc�C 1, Eastcrest Addition
Lot 2, Block 2, Eastcrest Addition
Lot 1, Biock '!, Eastcrest Addition
L,ot 1, Bloc4c 2, Eastcrest Addition
FWHFC ex�ects to complete constructian on or before June 30, 2003, and sell ihe sixteen homes to
new owners. Upon the sale of each home by FWHFC, the Housing Departme�t staff will present the
praposed assessmer�t of the tax abatement agreemenfs ta the City Ca�ncil for apprflval if th� �ew
owner meets aal el9gible cr�teria as �stated �in �the NEZ Basic f�centives.
FWHFC will in�est $1,60D,000 to cansiruct sixteen single-family Yiomes in ihe Eastcrest Subdivisian..
The location of the propased development, .typical e�evation, and praject descr+ption are attached to this
Mayo�- and Caunci! Cammunication. Tha municipal property tax on the impro�ed value is estimated at
$558 per house par y�ar or a toial of $44,�40 over the five-year period.
On August � 3, 2002,� the abave praposal was endorsed by the Economic and Cammunity Development
Cammittee fior City Council approval.
The Eastcrest Subdivision is located in C�UNCIL D15TRlCT 5.
C'i�y of �F'ort �V'orth, Texas
M�yor ar�d Cour�ci{ Gommunic�tio� _
DATE REFERENC� NUMB�R LOG NAM� �'�G�
9110/02 C-19235 05NEZ � 3 of 3 �
I_ -
sue.�Ecr AUTHORiZATION TO ENTER INTQ TAX ABATEMENT AGREEMENTS WITH THE
F�RT WORTH H�USING FINANCE CORP�RATION FOR THE DEVEL�PMENT OF
51XTEEN SfNGLE-�AMILY H4MES FOI� THE EASTCREST S�BDNISION LOCATED
1N THE STOP 51X NEIGHBORHDOD EMPOWERMENT ZONE _ _
, FISCAL fNFORMATIONICERTlFICATION:
' The Fi�ance Director certifies ihat this ac#ian will have no material effect on City funds.
� RR:�
Subm'rt#ed for City Manager's � FCTND , ACCDUriT �
Oi�ce by: , it�)
RcidRectar �1�4� I
Originating Department He�d: �
Jerome Walker 7537 � (from)
CE1�TEl� , AMCH3N'T
CITY SECRETARY
I
Additianal Information Contuct: �
.)erome Walker • 7537 � � I
�
�
1
APPROVED 491101U2