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HomeMy WebLinkAboutContract 28118���� �������� l� � STATE OF TEXAS § �������� � • COUIliTY OF TARRANT § TAX ABATEMENT AGREEMENT FOR PROPERTY LOCATED iN A NEIGHBORHOOD EMPOVt�ERMENT ZONE This TAX ABATEMENT AGREEMEIl1T {°�Agreement") is entered inta by and between the CITY OF FQ�i.T WURTH, TEXAS (�he "Cit�"), a home rule municipal eorporation organized under the laws of the State of Texas an�1 acEin� by and through . its duly autharizad Assistant City Manager, and the. Fort Worth Hausing Finance Corparation, a non-profit hausing developrnent carporation. ("Owner"), acting by and thro�gh Jerame Walker, its duly authorized Owners' Representati�e. The City Council of the City of Fort Worth ("Cit�+ Council") hereb� finds and the City and Owner hereby agree that the following statements are true and carrect and constitute the basis upon which the City and Owner have entered into this Agreement: A. Chapter 378 of tha Texas Loca� Government Code allows a municipality to create a Neig�iborhood Empowerment Zane (NEZ) if the municipality detern�nes that the crea�ion of the zone would prorn�te: 1. The creation af affordable housing, including manufactured housing �n t�e zone; . 2. An increase in economic development in the zone; 3. An increase in the quality of social services, ed�cation, ar public safety provided to residents of the zone; or 4. The rehabili�ation of a�fordable housing in the zone. B. Chapter �78 of the Texas Local Government Code provides that a municipality � that creates a NEZ, may enter inta agreements abating municipal property tax�s on property in t�e zone. C. On July 31, 20Q1, the City adopted basic incentives for property owners who own property located in a NEZ, stating that the City elects to be eligible to participate in tax abatement and including guidelines ar�d criteria governing tax abatement agreements entered into between the City and various third parties, titled "NEZ Basic Incenti�es" ("NEZ Yncentives"}, which is attached hereto as Exhibit "A" and hereb� made a part of this Agreement for all purposes. D. T1�e NEZ Incentives contains appropriate guidelines and crit�ria governing tax abatement agreements ta be enke�ed into by the City a�cor�templated by Chapter 312 of the Texas Tax Code, as amended (the "Code"). „ � .. . ' � E. On September 11, 2Q01, the Fort WQrth Ci�y Council adopted Qrdinance No. 14767 (the "Ordinance") establishing "Neighbarhaod Empowernient Reinvestment Zone No. 1," City af Fort Worth, Texas (the "Zone"). F. �wner owns certain real property located entirely within tha Zone and that is more particularly described in Exhibit "B", attached hereto and hereby made a part of this Agreement for all parposes (the "Premises"). G, Owner or i�s assigns plan to construct Che Required Improvements, as defined in Section �.l of this Agreement and as described in Exhihit "C", on the Premises to be used for as a single-family residence that will be own�r occupied. (the "project"}. � H. �n September 28, 2001, Owner submitted an application for NEZ incen�i�ves and tax abatement to the City concerning the contemplated use of the Premi�e5 (the "Application"), attached hereto as Exhibit "D" and �ereby made a part of this Agreement for all purposes. �. The City Council finds �hat the contemplated use of the Premises, the Requircd Tmprovernents, as defined in Sect�on � 1.1, and the terms of this Agreement ate cansistent with �ncouraging d�velopment of the Zone in aceordance with the �3UT�i0505 for its creation and are in cornpliance with the NEZ Tncenti�es, the Resolution and other applicable laws, ordit�ances, rules and xegulations. J. The City Counci� finds that the terms of this Agreement, and the Premises and Required Impro�ements, satisfy the eligibility criteria of thc NEZ Incenti�es. K. Written notice that the City intends to enter into this Agreament, along with a copy af this Agrc�ment, has been furnished in the manner prescribed by the Code to the presiding officers of the gaverning bodies of each of the taxing units in which the Premises is located. 1�10W, THEREFORE, the City and Owner, for and in cansideration af the terms and conditions set farth herein, do hereby contract, covenant and agree as follows: 1. OWNER'S C(JVENANTS. 1.1. Real Proaertv Im��vements. �wner shall construct, or cause to be constructed, an anc� within the Premises certain improvements consisting of a single farnily residence, {i) of at least 1,20Q square feet in size, and (ii) having a construc�ion cost upon completion of $ 60,004 including site development costs but sueh minimum construction costs shall be reduced by any � constructior� cost savings {collectively, the "Reqnired Impravements"). Owner shall provide a survey of the completed home showing Required Impro�ements before the t�ome is sold. The parties agree that the final survey shall be a nart of this Agreement and �, 2 . " " .. shall be labeled Exhibit E. Minor variations, and more substa�tial variations if approved in writing by both of the parties ta this Agreement, in the Requir.ed Improvements from the description provided in the Application for Tax Abatement shall not constitute an Event of Default, as defined in Section 4. �., pravided that the condi�ions in the first sentence of this Section 1.1 are anet and the Required Impro�ements are used for the purposes and in th� manner described in Exhibit "D". 1.z. Completion Date af Required Impra�'ements. � Owner cavenants to substantially complete construction of all of ihe Required �mprovements within two years from the issuance and receipt of the building permit, unless delayed beca�se of force majeure, in which case the two years shall be extended by the number of days comprising the specific force majaure. For purposes of this . Agreement, force rriajeure shall mean an event beyond Ownar's reasonable control, including, without 3imitation, delays caused by adverse weather, delays in receipt of any requir�d p�;rrnits or appravals from any gavern�nental authority, or acts of God, fires, strikes, national disasters, wars, riots and material or labnr restrictions and shortages as determined by tl�e City of Fort Worth in its sale dfscretion, wk�ich shall not be unreasonably withheld, but shall not include construction delays caused due to purely financial matters, such as, without liFnitation, delays in the obtaining vf adequate financing. � � 1.3. Use of Premises. Owner covenants that tl�e Required Impro�ements shall be constructed and the Premises shalI be sold so that it is continuously used as the prirnary residence of the Hame Buyer in accordance with the description of the Praject set forth in Exhibit "D", In addition, Owner eovenants that throughaut the Term, the Required JmprQvements shall be operated and maintained for the purposes set forth in this Agreement and in a manner Cha� is CO11515tE11t with the generai purposes af encouraging development or redevelopment oi the Zone. �. ABATEMENT AMOUIliTS. TE17MS AND CONDYTIONS. Subj�ct to and in accordance with thzs Agreement, the City hereby grants ta Owner a real property tax abatement on the Premises, the Required Improvements, as•specifically pravided in . this Sectian 2(�jAbatem�nt"). "Abatement" of reai property taxes only includes City �f Fort Warth-imposed taxes and not taxes f�om other taxir►g en�ities. 2.1. Amount of Abatement. The actual amount of the Abaternent granted under tI�is Agreement shall be based upon the increase in value of the Prernises and the Requzred Improvernents over their values fln J'anuary 1, 20Q2 and according to the Tarrant Appraisal DistricC, this amount is $1,000 the y�ar in which this Agreement r�vas entered itnt�s: �� � . �� . " 1 ,,,. . 3 � One Hundred percent (100%) of the increase in value from the constz�ctian af the Required Impravements. If tl�e total cflnstruction casts of the Required Improvements are less than as pro�ided i� Section 1.I af this Agreement, except that such mininlum construction costs shall be reduced by construc�ion cost savings, Owner wi11 not bc eligibie to rec�ive any Abatement under this Ag�eement. • 2.2 Term of Abatement. The term of the Abatement {the �"Term") sha�l begin on January 1 of the year following tha calendar year in which the Required �mpr�vert�ent is so�d to a Hame Buyer to be used as its primary r.esidence ("Beginning Daie")_and, unless sooner terminated as herein provided, shall end on December 31 immediately prec�ding the �if�h (Sth) anniversary of the Beginning Date. Upon the sale to a Home Buyer, City shall certify that the Required Ianprovements have been completed in satisfactian of the terms of this Agreement. Hawever, tl�e Campliance Auditing Term wili begin an the date this agreement is executed and will end on the expiration date of the Term. 2.3. Pratests Over Anpraisals or Assessmen�s. Owner shal.l have the right to protest and contest any or al� appraisals or assessrnents of the Premises andlor improvements thereon. 2.4. Abatement Annlication Fee. The City acknowledges receipt from Owner of the required Abatement applicatian fee of twenty-five dollars {$25.00). 3. RECORDS.. CERTIFICATION AND EVALUATION OF PRO.TECT. 31. Insnection af Premises. Between the executian date of this Agreement and the last day af the Term, at any time during constructian of the Required Improvements and following reasanable notice ta Owner, the City shall have and Owner shall provide access to the Pre�nzses in order far the City to inspect the Premises and evaluate the Required Tmpro�ements to ensure complianc� with the �terms and conditions of this Agreement. Owner shall cooperate fully with the City during any sueh inspection and/or evaluatian. 3.�. Certification -- � � �� � � � ;� � ... , � ,. �,Ei' . ' 'I�. , 4 , ' . , _ Property Owner, and Home Buyer once the proparty is sa1d, .sha13 certify annually ta the City that it is in compliance with each applicable term af this agreement. The City shall k�ave the right to audit at the City's expense th� financia] and busincss records of Owner that relate to the Construction of the Project and Abatement terms and conditions (collectiveIy, the "Records") at any time during the Compliance Auditing Term in order to det�rmine co�npliance with this Agreement and to caiculate the carrect percentage of Abatement available to �wner. Owner shall make all applicable Records available to the City on the Prerr�ises or at another locatifln in the City following reasonable advance notice by.the City and shall othervvise cooperate fully with the City during any audit. 3.3. Provision of Ynformation. On or before February 1 fallowing the end of every year during the Campliance Auditing Term and if requested by the City, Owner shall provide information and docurnenta�ion for the previous year that addresses Owner's compliance with each of the terms and canditions of �his Ag�eement for that calendar year. Failure ia provule all irtfnrmatian within the contral af Owrter required Ly this Section 3.3 shaZl consiitute an Event of De,fault, as defined in Section 4.1. 3.4. Determinatioz� of Comnli�nce. On or befare August 1 of each year during the Compliance Auditing Tarm, the Ci�y s�all make a decision and rule on the actual annual percentage of Aba�ement available to Owner for the �ollowing year of the Term and shaIl notify Owner of such decisian and ruling. The actual percentage of the Abatement granted far a given year of the Term is Cherefare based upon Owner's compliance with the terms and conditions of this Agreement during the previaus year of the Compliance Auditing Term. 4. EVENTS OF DEFAULT. 4.1. Defned. Unless otherwise specified herein, Owner shall be in default of ti�is Agreement if (i) Owner fails to constntct the Required Improvemants as defined in Section 1�.1; (ii) ad valorern real property taxes with respect to the Premises or thc Project, or its ad valorem taxes with respect to the tangible personal property located on. the Premises, beeome delinquent and Owner does nat timely and praperly follow the legal proeedures for protest and/or contest of any such ad v�iorem real property or tangible personal property taxes .or {iii} Home Buyer does nat use the Premises as primary residence once the abatement begms (collectively, each an "Event of Default"). 4.2. Natice to Cure. ;. :� � � .. ;���. .i Sub�ect ta Section 5, if the City determines thai an E�ent of Default has occurred, th� City shall provide a written notice to Owner that describes ttie nature of the Event of Default. Owner shall have ninety (90) calendar days from �he date of receipt of this - writien notice to �uIly cure or ha�e c�red the Event of Default, If Owner reasonably believes that Owner will require additional time to cure ttte Event of Default, Owner shalI promptly notify the Csty in writing, in which case (i) afCer advising the City Council in an open rneeting of Owner's effarts and inCent to cure, Owner shall have one hundred eighty {1$p) calendar days from tY�e original date of receipt nf the written notice, or (ii) if Owner reasonably believes that Qvvner vvilI require more than one hundr�d exghty (180) days to cure the Event af Default, after advising the City Cauncil in an apen meeting of Owner's efforts and 'mtent ta cure, such additional time, if any., as may be offered by the City C��ncil in its soIe discretion. � � 4.3. Terminatinr� for Event of Default and Pavment of Lipuidated Dama�es. If an Ever�t of Default which is defined in Section 4.1 has not been cured within ti�e tim� frame specifically allowed under Sectian 4.2, the City shal� �ave the right to terminate this Agreement immediately. Owner acknowledges and agrees that an uncured Event of Defat�lt will (i) harm thc� City's eco�omic development and redevelopment �fforts on the Premises and in the vicinity of the Premises; (ii) require unplanned and expensive additional administrative oversignt and involvement by the City; and (iii} otherwise harm th� City, and Owner agrees that the amounts of actual damages therefrom are speculative in nature and will be difficult ar impassible ta ascertair�. Thereforc, upon terri�ination of this Agreement for any Event of Default, Owner shal] not be eligible for the Abatement for ihe remaining Term and Owner shall pay the City, as Iiquidated damages, all taxes �hat were abated in accordance with this Agreement far �ach year when.an Event of Default existed and which otherwise would have been paid to the City in the absence of this Agreement. The City and Owner agree that this amount is a reasonable approximation of actual damages that the City will incur as a resuIt of an uncured Event of Default and that this Section 4.3 is intended ta provide the Csty with compensation for actual damages and is not a penalty. This amount may be recovered by the City through adjustments made to Owner's ad valarem praperty tax appraisa� by the appraisal district that has jurisdiction over t�e Premises. Otherwise, this amount shall be due, awing and paid to the City within sixty (60) days follawing the effeciive date oF temunation of this Agreement. In the event that all or any portion o€ this amount is not paid to ihe City within sixty (60} days follawin� the effective date of termination of this Agr�ement, Owner shall also be liable for all penalties and interest on any outstanding amount at the sta�utory rate for delinquent taaces, as determined by the�Code at th� time af the payment of such penalties and interest (currently, �ection 33.01 of the Code). 4.4. Termination af Will. If th�; City and Owner mutnally determine that the development or ns� of the Premises or the anticipated Required Improvements are no Ionger appropriate or feasible, ar that a higher or better use is preferable, the � City and Owner may terminate this AgreeTnent in a written forma� that is signed hy bath parties. It� thi,� ei���; (�?•.i�f-��i� �`�r� ' ��, � _ _ _,�., - 6 , �, � _ ., : has commenced, the Term shall expire as of the effec�i�+e date of the termination of. this Agreement; (ii) there shall be no recaptuxe af any ta}ces previously abated; and (iii) neither party shall have any further rights or obligations hereunder. �. 6. City: EFFECT OF SALE OF PREh�IISES. The Abaternent granted hereunder shall vest only in �Owner and cannot be assigned to a new awner of all or any partion of the Premises and/or Required Improvements without the prior written consent of the City Council, which consent shall not be unreasonably withheld provided that (i) the City CounciI f�nds that the proposed assignee is financial,ly capable of ineeting th� terms and conditions of this Agreemenk and (ii) the proposed purchaser agrees in wri�ing to assume all terms and condition� of �wner under this Agreement. Owner may not otherwise assign, Iease ar con�ey any of its rights under this Agreement. Any att�rripted assignment witho�t the CiCy Councii's prior written consent shall consti�ute gzounds for termination of this Agreement and the Abatement granted hereunder foliowing ten (10) calendar days of receipt of written notice from the City to Owner. In na event shall the abatement term be extended in the event of a subsequent sale or assi�nment. � N�TICES. Al� wr�tten notices called for or required by this Agreement shall be addressed to the following, or such other party or address as either party designates in writing, by certified mail, postage prepaid, or by hand delivery: ' - Owner: Czty of Fort Worth Attn: City Manager 100Q Throckmorton Fart Worth, TX 761Q2 7. MISCELLANEOUS. i.l. Bonds. Fort Wort� Housing Finance Coxporatian 1000 Throckmortnn Fort Worth, T�xas 76102 The Required Improvements wili not be financed by tax increment l�ands. This Agreernent is subject to rights of holders of outstanding bonds of thc: City. . 7.�. Conflicts of Interest. 7 ' , i, ,, 4 Neithe� the Premises nor any of the Required Improvernents covered by this Agreement are awned or leased by any meznber of the City Council, any mernbar of t�e City Planning or Zoning Comrnission or any member of the go�erning body of any taxing units in the Zone. 7.3. Conflicts Between Documents. In the event of any conflict between the City's zoning ordinances, or other City ardinanc�:s or regulations, and this Agreement, such ordinances or regulations shall control, In the event of ariy cQnflict between the body of this Agreement and Exh'ibit "D", the body of this Agreement shall control, 7.4. Future Anblication. A portion or all of the Premises andlor Required Impravements may be eligible for complete or partial cxemption from ad valarem taxes as a result of existing law or future legislation. This Agreement �hall not 'be � construed as evidence that such �xemptions do not apply to the Premises and/or Required Tmgrovements. '�.�. Citv Coancil Aut�orization. This Agreement was authorized by the City Council through approval of Mayoz' and Council Communication No. on , which, among at�er things, authorized the City Manager to execu�e this Agreement on behalf af the City. i.6. Estoq�el Certificate. Any party hereto may requ�st an estoppel certificate frorn another party hereto so Iong as the certificate is requested in cann�ction with a bona iide business purpose. The certificate, which if requested will be addressed to the Owner, shall incl�de, but not necessarily be limited to, statemants that this Agreement is in fuli force a�d effect withau� default {or if an Event af Default exists, the nature af the Event of Default and eurative actio�n taken andlor necessary to effect a cure), the remaining term of this Agreement, the levels and remaining term of the Abatement in effect, and such other matters reasonably requested by the party or partses to receive the certificates. 7.7. Owner Standin�. Owner shall be deerned a proper and nec�;ssary party in any litigation questioning or challenging the validity of this Agreemenk or any af the underlying laws, ordinances, r�solutions or City Council actions authorizing ��is Agreement, and Owner shall be entitled to intervene in any such litigatian. 7.8. Venue and .Turisdiction. 8 . � ,, ,,. This Agreement shall be construed in aecorci�nce with the laws of the Sfiate of Texas and applicable ordinances, ruies, regulations or policies of �the City, Venue far any action under this Agreement sI�all Iie in th� State Disirict Court of Tarrant Caunty, Texas. This Agreement is perfarmahi� in Tarrant County, Texas 7.9. Recordation. A certified copy af this Agreement in recordable form shall be reeorded in the Deed Records of Tarrant County, Texas. 7.10. 5everabilitv. If any provision of this Agreement is held to be invalid, illegal or unenforceable, the validity, legaliCy ar�d eniarceability of the remaining provisions shall not in any way be affected or impaired. � 7.11. Headings Not Controllin�. Headings and iides used in this Agreement are far :re%xence p�rpases anly and shall nat be deemed a part oi t�is Agreement. '�.12. Entiretv of A�reement. This Agreernent, including any exhibits attached hereto and any documents incorparated herein by reference, contains the entire understanding and agreement between the City and Owner, tk�eir assigns and successors in interesi, as to the matters contained herein. Any prior or contemporaneous oral or written xgreement is hereby declared null and void to the extent in conf�ict with any pra�ision of this Agreement. This Agreement shall nat be amended unless executed in wriCing by both parties and approved by �he City Council. This Agreement may be executed in multiple counterparts, each af� which shall be considered an arig�inal, but all of which shail constitute one instrument. �', . I � g' ��",,, . �' ' ;� EXECiJTED thi day of `�' , 2Q02, by the City of Fort Wortl�, Texas. � EXECUTED this �day of ��� �-e� � e,,- , 2402, by Fort Worth Housing Finance Corporation. CITY OF FQRT WORTH: FORT WORTH H4USING FYI�ANCE CORPORATIUN: � _ � !,�-� B , ,�,�� , � Y• J r rne C. Walker Assistant City Manager ATTES By: �r. � Ci y 5ecretary APPROVED A TO FORM AND LEGALITY: B : � . - Y Cyn�'hia G�rcia Assistant City Attorney ' , - .� � . M 8z. C: . ' , ` � � ATTEST: : 10 ' l; ' � ' �, .. STATE OF TEXAS § COUNTY 4F TARRANT § BEFORE ME, the undersigned authority, an this day personally appeared �PicL �R.P..G.`�"r��R , 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 the foregaing instrument, and acknawledged to me that the same was the act of Ehe said CITY OF FORT W�RTH, TEXAS, a municipal corporation, that he was duly aufhorized �o perform the sarn� by appropriate Mayor and Council Communication of the City Council af the City of Fort Worth and that he executed the same as the act of the said City for the pu.rposes and consideration therein expressed and in the capacity Cherein stated. ' GIVEN UNDER MY HAND �ND SEAL OF OFFICE this %�� day oi DG�--f�e..p..t, .2002. ��..e�. �r�•�.,,.�--�-- Natary Public in and for a��Y:°U� ROSELLA BARNE5 ' the State of'I'exas 2���� M47'A�YPUBLIC � ,��� 5tate of Texas �PJSC��//� ��ri/� �,��� Comm. Exp. 03-31-2005 = tiY�N Notary's Prinied Name .-� • � W a ,.� , ,, . , �. �, 11 STATE OF TEXAS § COUNTY 4F TARRANT � § BEFQRE ME, the undersigned authority, on tkus day personally appeared J� wo �-. e�• �%i ��� �±� e v�`� of the Fort Worth Hausfng Finance Corporation, a Texas non- profit corporation, known to me ta be tY�e person whose name is subscribed to the fo�egoing instrtxment, and acknowladged to rne that he executed the same foz' the puzpases and caztsideration therein expressed, in the capacity therein stated and as the act and deed of the Fort Worth Housing Finance Corporatian. G�VEN UNDER MY HAND AND SEAL OF OFFICE this of ��� e � � � �,- , 2002. �,�.� ��G��-. Notary Public in and for _ _ _ _ _._� _� �� � � the State of Texas .•���°����,. Notazy's Printed Name . �.��: - ������'� �. .. w�w�� ��wirr MY COMMl5SI0N EXPIRES - Janvary 27, 20a3 12 ���� day Exhibit A: NEZ Incentives Exhibit B: Property Descrigtion Exhibit C: Project description including kind, number and location of the praposed improvements. Exhzbit D: Applica�ion: (NEZ) Incentives and Tax Abateinent Exhibit E: Final Survey 13 �X���/ � J�E � CITY O�' F'ORT WORTH N�IGHBORHOOD �,MPOWE�MENT ZONF {TIEZ) �ASIC IPlC�f�T'IV�S Adapted 6y fhe Forf Worth City Gouncil on July 39, 2009 (M&C G-13208 R} Amended 6y the Fort Worth Cify Council on Apri12, 2002 (M&C G-93580), JuJy 23, 2pR2 (M&C G-�3&62) l. C��I�RAL PU�POS� AfVD O�J�C f1V�S Chap#er 378 0� fihe Texas l.acai Gavernment Co�e allows a municipality ta create a NeigY�borhood Empawerment Zone (NEZ) wh�n a"...municipality defermines that the creation of the zone would promcate: {1 } the creation of afFordable ho�sing, including manufacturecl housing, in the zone; (2) an increase in econamic dev�lopm�nt in the zone; (3) an increase in tF�e quality of social services, educatian, or public safety provicfed to residents ot the zone; or (4} the reF�abilitation of affordable housing in the zone." The City, by adopting the fo�lowing incentEves, �will promote afforclable housing and economic d�ve�opment in the NEZ. NEZ incentives rrvill not be granted af�er the NEZ expires as defined in the resol�tion �esigr�ating the NEZ. For Eac� NEZ, the Cify Council may approve addi�ional terms and inceniiv�s as �erm�tted by Chapfer 378 of the Texas Local Government Code o� by City Council resalution. How�ver, any tax abatement awarded befoTe th� expirafiQn of a NEZ sha[I caTry its full term according ta its tax abatemenfi ag�-eement ap�roved by the City Council. . As mandated hy s#ate law, the property tax abatemenf under t�is palicy applies to �he owr�ers of rea! property, No#�hir�g in fi�e policy shalf be cons�rued as an ob[iga�ian by the Ciiy o� �ort Worth ta approve any tax abatement application. Il. DE�'IN1710NS "Abatement" means the �Full or pa�tia� exemp#ion from Cify of Fort Worth ad valorem taxes on eligible properties for a p�riod af up to 10 years and an amaunt of up to 1QQ% of the increase in appraised value (as reflected on the certifi�d tax roll of the appropria#e county appraisal district) resulfing frarn improvements. El�gible praper�ies must b� lacated in the NEZ. "Base Value" is the value of t�te property, excluding fand, as determined by the Tarrant County Appraisaf District, during the year rehabilitation oecurs, "Building 5fandards Commission" is the cammission created under Sec. 7-77, Ar#icfe IV. Minimum Buifding Standards Code of the For# WQrth City Code. "Capr�al Investment" includes flnly reai property impro�emenfs such as new faciiiiies and structures, site improveme�ts, facility expansiort, and facility modernizatio�. Capital investmen�# does NOT include lar�d acquisifion casts andlor any existing improvements, ar personal proper�y (such as machinery, eQ�ipment, and/or sup�lies and invenfary). "City of Fort Worih Tax A,batement Policy Statement" means th� policy adopfed 6y City Council on February 29, 2000. "Commercial/Industrial Development Projecf" is a development project which �ropases to construct or rehabiliiate commerciallindustrial facilities on property that is (or meets the requirements fo be) zoned commercial, industrial or mixed use as defi�ed �y fhe Ci�fy of For� Worth Zoning Ordinance. "Comrnunrfy Facilify Development Project" is a development project which propases �o construct or rehabilitate community facilities on property that a[lows such use as defined by the City of For� Wor�F� Zoning Ordinance. "Eligi6le Rehabilitation" Rehabilitation does NOT an�/�r supplies). includes anfy physical improvements ta real properly. Eligible includ� personal property (such as furniture, appliances, equipment, "Gross Flaor Area" is measured by taking the autsid� dimensions of the �uildin� at each floar level, except ti�at portion of the basement used only #or utili#ies or storage, and any areas within f�e building used for ofF-street parl�ing. "Mrnimum Building Standart�s Cocle" is Article IV of the Far� Wor#h Ciiy Code adoPted pursuant to Texas Loca{ Government Code, Chapters 54 and 214. "Mirtority Business Enterprise (MBE)" and "Women Business Enterprrse (WBE)" is a minority or woman owned business that has received certificatifln as either a cei�ifed MBE or certi�fied WBE by either th� North Texas Regiqnal Certification Agency (NTRCA} or the Texas Department vf Transportafion {TxDot}, Highway Division. "Mixed-Use Developmen� Projeci" is a de�elopmenf projecf which proposes to construct ar rehabifitate mixed-�se facifities in which reside�tiaf uses constitute 2Q percent or more ofi the total gross floor area, and office, eating and ent�riainrnEnt, andlor retail sales and service uses constitute 10 percent or mare of the tota! gross floor area ar�d is on praperty that is (or me�ts the requirements ta be) zonecf mixed-use as described by the City a� Fort Wortf� Zoning Qrdinanc�. "Multi-family Development Projec�" 9s a development project which pro�oses to construct or r�habiiitaf� mufti-family residentia! �i�mg units on pro�erty that is (or meets fF�e requiremer�ts ta be) zoned mufti-fam�ly or mixed use as defined by the City of �art Worth Zaning Ordinar�c�. "Rernvestment Zor�e" is an area designated as s�ch by the Gity af Fort Wnr�h in accardance with the ['roperty Redevelopment and Tax Abatement Acf codified in C�apter 312 of tf�e Texas Tax Cade, ar an area designated as an enter�rise zone pursuant fo the Texas Enterprise Zone Act, codified in Chapter 2303 of the Texas Government Code. III. IUfUNfCI�AL �ROP�RiY �'peX �A�FM�NTS A. ��Sl��fVilA� �ROF`���Y1�5 LOCpo���1 IN A N��: �UI�� A�AT�IIflEfdT FOR � Y�ARS . 9. For residential praperty purchased before NEZ designation, a homeowner shal� be e�igibl� to appfy far a tax abatement by meetEng the fo�iowir�g: a. Property is owner-occupied and the primary residence of fhe homeowner prior to ths final NEZ designation. Homeowner shal] pravide proaf of awnership by a warranty d�ed, afFidavif af heirship, ar a probated will, artd shall show }�roof af primary residence by nomestead exemption; and b. Home�wner must perfarm Eligible Rehabilitation an the property after NEZ designation equal to ar in excess of 30% of the Base Value of the property; and c. Property is not in a tax-delinquent status when fhe aaatement application is submittecE. 2. �ar residenfiaf property �urchased after NEZ d�si�nation, a homeowner sF�all be eligible #o apply for a tax abatement by meeting #ne followi�g: a. Pro�erty is newly constructed or re�abilitated after the date of final NEZ � designatior�; and b. P�operfy is nwner-occ�pied ar�d is the primary residence of the �omeowner. Homeowner sfial[ pra�ide proof of ownership by a warranty deed, affidavit of heirs�ip, ar a probated will, and shall shaw praaf of primary residence by homestead exemption; and c. For rehabi[itated properky, Eligible Re�abilitation costs on the praperty shall be equal to or in exc�ss ot 3Q% ofi th� Base Value of the property. The seller 4r owner shall provide the City information ta support rehabilitation costs; and d. Pra}aer�y is not in a tax-delinquent status when tne abatemenf application is submitted; and e. Proparty is in confo�mance with #he City of Fort Worth Zoning Ordinance. � 3. For investor owned single family property, an investar shall be eligible #o apply far a tax abatement by meeting th� followi�g: a. Property is newiy consfructed or rehabilitated by the in�estor after NEZ designation; ar�d b. For rehabilitated property, Eligible Re�abilitatian casts on the property shall be �qual ta ar in excess of 30% o�€ tl�e Base Value of the property; and c. Proper�y is nof in a tax-definquent status when the abatement application �s submit�ed; and d. Prap�rty is in confarmance with the City of Fort Worth Zoning OrdinaRce. �, MULTE-FAIViILY ��V��OPf��iVT PR�J�CTS LOCAiFD lN �► IVEZ 1. Ful] Abatement fo�' 5 years. �n order to b� eligible for a prope�y tax abatement, upon completion, a newly constructed or rehabiiifated mUlti-�amily de�elopment projecf in a NEZ must satisfy the fol�owing: Af ieast twenty percent (20%) afi the #otai units cons�ructed ar ret�abilitated shall be affordal�le (as defin�d by the U. S. Department of Ha�tsing and Urban Development) ta persans with �ncomes at flr be[ow eighty percent (80%} of area m�dian income �ased an family size and such units sf�ali be set aside for perso�s at or below 80% of the inedian income as defined by the U.S, 3 De�artment of Ho�sing and Urban Development. Gity Council may waive ar reduce the 20% affvrdabifity requiremer�f an a case-by-case basis; and (a) For a multi-family de�eiopmenf praject constructed aft�r NEZ designation, the prflject must pro�ide at least fi�e (5) residential living units OR have a minimurr� Capital Investment of $200,00�; or (b) For a rehabilitation project, the prop�rty must be rehabilitated aft�r NEZ designation. Eligibfe Rehabilifation costs on the property shafl be at least 30% ofi the Base Vafue of the properky. Such Eligible Rehabilitation costs must come from the rehabilifation o# at least fve (5) resideniiai li�i�g units or a minimum Capital Investment of $200,000. 2. 1%-� 00°/Q Abatement of City Ad Valorem taxes up to 'f 0 years If an applicant appfies far a tax abatemenf agreement wiih a term of more than five y�ars, this section shall apply. Abatements for muffi-family development projects for up to 10 years are subject to City Councl appraval. The applicaRt may apply with fhe Housing Depar�ment for such abatament. Years 9 throuuh � of ihe iax Aba�em�h� Aareemen� Multi-family pro��cts�shali be eligible for 100% abatement af City ad valorem faxes for years one through fi�e of �he Taac A�atement Agreement upon the satisfaction of the folFowing: Af feast iwenty percent (2Q°/a} of t�e total units consfr�cted or rehabilitated shail be afFordable (as defined by the U. S: Department of Housing and Urban Develapment) to persons with incomes at or below eighty percent (80%) of aTea median incame based on famiEy size and such units shall be set aside for persons at or below 80% of t?�e median income as defined by ih� U.S. �eparkment of Housing and Urban Devefopment. City Council may waive or reduce the 20% afFordabiGty requirement o� a case-by-case basis; and a. For a m�lti-tamify de�el�pmer�t project constructec� after NEZ designation, the praject musi provide at least fiive (�} rasidential living units OR have a minimum Capita! In�estment of $200,000; or � b. For a rehabilitaiian project, the proper�y must be rehabilitated after NEZ designa#ion. Eiigible Rehabi[itation casts on the prap�rfy shai! be at least 30% of the Base.ValUe of the property. 5uch Eligbfe Rehabi[itation costs m�si eome from the rehabilitaiion of at least five (�) residentia! living units or a minimum Gapital Investment of $200,000. Years 6�hrouqh 40 of' the iax Abatemen� Aareement Multi-farnify projecfs shall be eligi�le for a 1-100�a aba�ement of City ad valorem taxes for years six through ten of fhe Tax Abatement Agreemen# upan the satisfaction of the following: a, At least fwenty percent (20%) of th� total units canstructed or rel�abilitated sha31 be •affordable (as defined by the U. S. Department of Housing anc! Urban Development) to persons wit� incomes at or below eighty percent (80°/a) of area 4 median income based on fami�y size and such units shali be set asid� for persons at or below $0°/n of the median incame as defiined by the U.S. Department of Housing and Urban Developmenf. Cify Council may waive or reduce the 20% affordabilify requiremeni on a case-by-case basis; and 1. �ar a m�alti-family da�elopment �r�ject constructed afier NEZ desi�natian, the project must provide at least five (5) residentia3 li�ing units �R have a rr�inimum Capifal In�estment of $2p0,004; or 2. For a rehabilitation project, the property m�st b� rehabilitated afEer NEZ designafion. Efigible Rehabilitation cflsts on th� property shall be at least 30% af the Base Value of �he praperty. 5uch Efigihle Rehabilitation costs must come from ihe rehabilita#ion of at least five {�) residential living units or a minimum Capital Investment of $24p,000. b. Any other terms as City Council of the City of Fort Warth deems approQriate, ir�cluding, but nof limited fo: �. �tilizatian vf Fort War�h companies f�r ar� agreed upon percenta�e af #he iotai costs for construction contracis; 2. utiEization of certifi�d minor�ty and women awned busin�ss ent�rprises for an agreed upan percentage of the total costs for cons�rucfion contracts, 3. praperty inspection; 4. commit io hire an agreed upon percentage af Forf Worth residents �. commit ta� hire an agreed upon percentage of Central City residents 6. landscaping; _ 7. tenant selection plans; and 8. managemant plans. C. COM�II]�RCfA�, IAL�USi�iCA� A�I� COMCIAUNEYI( FACILITl�S ��V�LO�M�IVi pRQJ�CTS LOCfA7�D EN A N�� �. �'ull Abatement far 5 years. In flrd�r fo be eligible for a proper�y tax aba#ement, a newly constrUcted or rei�abilitated commercial/industrial and community facilities devela�ment project in a NEZ must satisfy the fallowin�: a. A commerciaf, industria� or a community faciliti�s d�vefopment project canstructed after NEZ designation must have a mir�imum Capital Investment of $7�,aaa; or b. F'ar a rehabili#ation project, it m�st b� reF�abilitat�d after N�Z designa#ion. Eligible Re�abiGfation costs on the proper�y shall be at least 30% of the Base Value af the proper[y, or $75,004, whichever is greater. 2. 1%-100% Abatement of City Ad Valorem taxes up to 10 years If an applicant applies for a tax abatement agreemen� wifh a term of more than �v�e years, tY�is sectio� shail apply. Abatem�rrt agreements for a Commercial, Industriaf ancE Community Faciliiies Developme�t projects for up to 10 years are subject ta City Council approval. The applicant may apply with the Econornic and Commur�ity Development Depar�ment far such abatement. Years 1 throuah 5 of the iax Abafemen# p,areem�n4 Commercial, End�strial and Community �acilities Development projects s�all be el�gible for ��0% abatement of City ad va�arem taxes far the first �ve years of the Tax A�atemenf Agreement upon #he sa#isfaction flf the following: a. A commercial, industrial ar a communiiy faciliti�s d�veCopment praject construcfed after NEZ .designation must ha�e a minimum Capital ln�estme�t of $75,000; or b. For a rehabiEitation project, it must be rehabilitated after NEZ designation. Eligible Rehabilitation costs on the property shall be at least 30% of the Base Valu� of th� property, or $7�,004, whiche�er �s greater. Years G throuah 10 of ihe Tax Abatement Aqreemenf Cammercial, Ir�dustriai and Community Facilities Development p�-ojects shall be eligibfe for �%-100°!o abatement of City ad valorem taxes for years six thraugh ten of the Tax Abatement Agreement upon t�e satisfactian of fhe #ollowing: a. A cammercial, industrial or a cammunity facilities develapment project constr�cted after NEZ desi�nation must have a minimum Capital Investment af $75,000 and musf ineet the r�quiremenfs of subsection (c) below ; or b, For a reha�ilitation project, if must be rehabilitated after NEZ designafiion. Eligible Rehabififafion cosfs an t�te proper#y shall be at leasf 30% of the Base Vafue of the proper�y, or �75,000, wt�ich��er is greater and meet the reguirements af subsection {c) below. � c, Any ather terms as City Council of the C9ty of Fort Wor�h deems appropriafe, inc�uding, but not limited ta: 1. ufilization of Fo�i Worth companies for an agreed upon percer�fage of the tota! costs for construefion contracfs; 2. utilization ot certified mir�ority and women owned business enterprises for an agreed upon percentage of the total costs for construction contracts; 3. cammit to hire an agreed upan percentage of Forf Worth residents; 4. commit to hire an agreed upon percentage o�F Central Ci�y residents; and 5. landseaping. D. IV�[X���US� DE1/�L��iNENi PRAJECTS ��CAT�� IiV A N€� 1. Full Abatement for 5 years. In order to be eligible for a praperty tax abafiement, upan c�m�letion, a new[y constructed ar rehabilitated mixed-use devefopment �raject in a NEZ must satisfy the following: • a. Residential uses in the project canstitut� 20 p�rcent or more af the total Gross Floar Area of the praject; and b. Office, ea�ing and entertainmant, andlor refaif sal�s artd SetViG� uses in the pro�ect constitute '10 p�rcent ar more of the total Grass Floor Area of fhe prflject; and 0 {1 } A mixed-use c�evelopment pro�ect construc#ed after NEZ designation must have a minimum Capital Investment of $200,000; or (2) For a rehabifi#ation project, it must be reha�ififafed. after NEZ designation. Eligible Rehabilitation costs on the property shali be .at least 30% of the Base Val�e of the property, or $2�0,000, whichever. is greater. 2. �°10-100% Abatement of City_Ad Valorem taxes up to 14 years If an applicant app[ies for a tax abatement agreement with a term of mare than five years, this section sf�ail apply. Abatements agreemer�ts for a Mixed Use Development project5 for up �0 10 years are subject to City Council approval. The app�icant may apply w�th the Ecanomic and Community Develapment Department for such abat�ment. Years 1�hrouaf� 5 of �he Tax Abatement Aareement Mixed Use Developrnent projects shall be eligible for 100°/4 abatemeni of C�ty ad valorem taxes fior the first �ve year's o# the Tax Abaterr�ent Agreement upon the satisfaction of the following: a. Residential uses in the project cflnstitute 24 percent or more af the total Gross F�oor Area af the projec�; and b. Office, eating and enfer�ai�ment, andlor retail safes and senrice uses in tf�e project c�nstftute 1� percent or more of the tota! Gross �loor Area of the project; and - c. A new mixed-use development pro�ect consiructed aft�r NEZ designaiion must have a minimum Capital Investrrment of $200,OQ0; or for a rehabilitatian projecf, it must be reha�ilitated a�fter N�Z designa�ion. Efigible Rehabilitafiion casts on the property shall be at least 30% of the Base Val�e af the property, ar $2�0,000, whic�ever is gr�ater. Years 6 ghrouqh 10 of the iax ,4k�a�emenfi Aareemenfi Mixed Use Developmenfi projects shall be eligible for �-1D0% a�atement of City ad vaEarem taxes �or years six fhraugh fen af the Tax Abatement Agreement upon the satisfaction af the following: a. Residentia! us�s in the prnject constitute 20 percent ar more of tf�e total Gross Floar Area of the project; and b. Difiice, eating and entertainment, andlor retail sales anci service uses in the pro�ecf constifute 10 percenf or mor� of the total Gross Floor Area of the �roject; c. A new mixed-use developmenf project constructed after NEZ designatinn must ha�e a minimum Capital Ir�vestment af $200,000, ar for a rehabilitation project, it mt�st be rehabifitated after NEZ designation. Efigible Rehabiiitation costs on th� properfy shal[ be af least 30% af the Base Value of the property, or $2a0,000, whichever is great�r; and � d. Any other terms as City Council of the City of Fort Worth deems apprapriate, incfuding, bu# not limited #fl: 1. utilizatian of Fort Worth eampanies for an agreed upan percentage of the totai costs for canstruction contracts; 2. u#ilFzation of certified minority and wamen owned business enterprises for an agreed upon percenta�e of the fotal costs for constructiar� contraets; 3. property insp�ction; 4. commit to hire an agreed upon percerrtage of Fort Warth residents 5. commit to hire an agreed upon percentage of Centra! City resEdents fi. landscaping; 7. tenant selection plans; and 8. management plans. �. A�Ai�M�NT G[JID�LIN�S Ifi a NEZ is loca#ed 'm a Tax Increment Financing District, City Council wi[I determin� on a case-by-ease basis if fhe tax abatem�r�t incentives in Section 111 will be offered ta eiigible projects. Eligib�e projects must meet all eligibility requirements speeified in Secfion I I i. ' 2. In order to be eligible to apply for a tax abatemenf, th� property owner/developer m ust: a. Not be delinqu�nt in paying praper#y taxes for any property owned by the owner/developer ; and �. Not have any Ciij+ of �ort Wo�th liens tiled against any property owned by the applicant prope�ty ownerldevefoper. "Liens" Enclude, but are �ot iimifed to, weed li�ns, demalitiort liens, board-uplopen struc#ure liens and paving liens. 3. Properties under a contract for deed are nat eligib�e for fax abafement. 4. Once a NEZ proper#y owner of a residential properiy (including multi-famiiy) in ihe NEZ satisfies the crit�ria set forth in Sections II C.A, E. �. and �.2. and applies for an aba#err�ent, a praperty owner must ent�r into a fax abatement agreement wifh fhe City of Fort Worth. The tax abatement agreement shalf automatically terminate if fihe pro�erty subject to th� fax abatemen# agreement is in viblation af tf�� City of For� Worth's Minimum Builcfing Standards Code and t�ie owner is convicted of such �iolation. 5. A tax a�atement granted under the criteria set forth in Section I[I. can only be granted once for a property in a NEZ for a maxirr�um te�m af as specified in the agreement. If a�roperty an which tax is heing abated is sald, the City will assign the tax a�atement agreement for the remaining term once the new owner submits an appiicafior�. 6. A property awnerldevelop�r of a muftifamily de�elopment, commercial, ind�strial, community facilities and mixed-use development }�roject in the NEZ who desires a tax abatement under Sections 1lI.B, C ar D m�s�: a. Satisfy tt�e criteria set forth in Sections III.�, C nr D, as ap�ficable, and �Sections III.E.1 E.2; anr! E3. and b. Fiie an application with tne Hausing D�partrnent or the Economic and Commun�ty Development Depar�ment, as app[icabie; and c. Th� pro�er�y awner must enter into a tax abatement agreeme�t with the City of �'ort Wortn. In addition to the other terms of agreement, the tax abatament agreement shall provide thaf th� agreement shail automatically terminate if the owner receives one canviction af a vioiation of the City af Fort Wor�h's Minimum Bu�lding Standards Code regarding the prope�y subject to the abatement agreement during the term of ihe tax abatement agreement; and d. If a praperty in the NEZ aR which tax is being abated is sofd, ti�e new owner may enter ir�to a tax abatement agre�ment on the property for the remaining term. F. A����lCATl�N �'�� T�e application fee for residenfial tax abatements gaverned under Section 11�.A is $25. 2. The ap�lication fee for mulii-family, commercial, industrial, commuriEty facifities and mixed-usa developme�t prajects governed ur�der Sections 1II. B, C.1 and D,1, is one- half of flne �ercer�t (0.�%) of the proposed project's Capital l�vestment, nat to exceed $1,fl00. Tne appiication fee wiEl be refunded upon issuance of certificate of �final occupancy ar�d ance the pro�er�y owr�er enfers into a tax abatement agreement with the City. O�herwise, the Application Fe� shalf �at be credited ar ref[�nded to any party for any reason. 1V. _ FI�� WAIVEi�S A. E�1Ci�L� R�ClPI�Ni51P�QPERiI�S 1. ln arder to be eligib�e tfl appfy for fe� waiWers, the prQperty ownerldeveloper must a. Not be definquent in paying proper#y taxes far a�y praperty owned by tf�e ownerlde�eloper or appficant; and b. Nofi have any City liens filed against any property owned by the applicant property ownerldevebper, including but not limited �o, weed liens, demolifion liens, board- up/apen structure liens and paving liens. 2. Prape�ties u��er a contracf for deed are not eligible far developmenf fee waiv�rs. 3. In arcler for De�efopmeni Fees andlor fmpact Fees to be waived for new construetion or rehabiEitatian projects lacated in the NEZ, a property awner musf subrnit ar� appGcation to fhe Ci#y. Appro�al of �he apt�licatron and waiver of the ��es sFtall' not be deemed fo be appraval o� anv asneci of the aroiect. �efore canstruc�ion. fhe anplica�i mus� ensure that �he pralec� is located in ihe correc# zonina distr[ci. �. 9�V�LOf�M�Ni F��S Once the ApplicatioR for NEZ l�centives F�as be�n approved by the City, the following fees for services perfarmed by tf�e City o�F Fort Wor�h for projects in the NEZ are waived for new construction projects or rei�abilitatior� projects that expend ai least 30% of tF�e Base Value of the praperty on Eligible Rehabififatian costs: 1. All building permit re[ated fees (including Plans Re�iew and lr�specfions) 2. Piat appiication fee (inefuding concept plan, preliminary pla�, final plat, short form replaf) 3. Baard of Adjustmenf application fee 4. Demo[ifEon fee �. Structure moving �ee 6. Community �acilities Agreem�nt (C�'A} applicatian fee 7. Zoning appficafPon fee S. Stireet and ufility easement vacation applicatio� fee Other development related fees nat specified above wil! be considered for approval by City Councif on a case-by-case basis. C. IM�,4C� F�� 1. Single family and mttlti-famiiy residential d���lopment prbjects in th� NEZ. Automatic 100% waiver of water and wastewater impact fees will be applied. 2. CorrEmerc�ai, industriai, mixed-use, ar community facility developm�nt projects in the NEZ. a. Automatic 140% waiver of ►rvater and wastewafer impact �'ees up t� $55,000 or equivalent to two 6-inch meters fior each commercial, industrial, mixed-use or community facility developme�t project. b. Ifi the project req�ests an impact fee waiver exceeding $�5,000 ar requesting a waiver for lar�er andlor more than two fi-inch meter, then City Cou�c�l approval is required. Applicant may request fihe additionai amount of impact fee waiver fihraugh the Hausing Depar#m�nf. V. R�L�po�^� OF CIiY Lf �NS The folfowing City liens may be released for eligible properties or projects in a NEZ: R. W�ED LI�h�S The following are eligible to apply for release ofi weed liens: '1. Single unit owners performing rehabififatio� on their properties. 2. Bui�ders or developers cons#ructing rtew homes an vacant lots. 3. Owners pertorming rehabifitafio� on m�lti-family, commercial, industrial, mixed-use, or cornmunity facili#y properties. . �. De�elopers cons#ructing r�ew mu[ti-family, commercial, industrial, mixed-use o� cflmmunity facility development projects. � �. ��flh1O[�[�'IOM LI�NS �a Builders or developers developing or rehabilitating a property are eligible to apply far release of demolition liens for up ta $30,000. Release of demalition liens in excess of $30,000 is subject to City Council approval. � C. BOA�DeUP10P�M SiRUCYUR� l.IEAIS The following are eligible to appiy for reiease of board-uplopen structure liens: 1. Single unit owners perfarming rehabifitatior� on tF�eir �roper�ies. 2. : Builders or developers constr�acting new single family homes an vacant lots. 3. Owners performing ref�abilitati�n on multi-family, cammercia�, indusfriaf, mixed-use, or cammunity facility proper�i�s. 4. Developers construciing mulfi-family, comm�rciai, industrial, mixed-use, or communifiy facility projects. �. PAVING l.I�NS The fallawing ar� eligibie ta apply for release of pa�ing liens: 1. Single unit owners perForrning rehabifitation on their properties. 2. Builders ar develvpers canstructing new homas on vacant Iots. 3. Owners performing rehabilitation on multi-family, commercial, ind�strial, mixed-�se, or community facility properties. 4. ' D�velopers constructing multi-family, commercial, indusfrial, mixed-�se, or community faeility projects. �. �LICI��E RECIP1FNiS1�RO��R�[�5 1. In order to be eligible �o apply for release of City fiens, the pro�erty ownerlde�eloper: a. m�st not �e definquent in paying property taxes for any property owned by t�e ownerlde�eloper , b. must n�t �a�e been subject to a Buildit�g Standards Comrr�issian's Order of Demaiition where the proper�y was demolished within t�e last �ve (�) y�ars; ar�d c. must not have any City af F'ort Wor�F� liens f�fed against any other prap�rty owned by fhe applicant property ownerlde�eloper. "Liens" incl�des, but is not limited to, weed liens, demolition liens, board-uplapan structure fiens a�d pav�ng liens. 2. Properkies under a contract for deed are nat efigibl� for refease of Ci�y lier�s. VI. PROC��U�L ST��S /�. APPLICAi10�15U�M[S5l�N 1. The applicant for NEZ incenfives under Sections III.A, B, C. D., IV, �nd V must camplete and submit a City of Fort Wor�h "Appiication for N�Z lncentives" and pay the appropriate applicatian fee to tt�e Housing Department ar the Economic an� Communifiy Development Departmen#, as ap�licable. 11 2. The applicant for incsnfives ur�der Sections fll.C.2 and D.2 must also comQlefe and submit a City of Fort Worth "Application for Tax Abatement" and pay the appropriafe application fee tn the Economic and Communiijr Developmenf Department. The applicafion fee, review, eval.uation and approval wi[I be gaverned by City of Fori Wort� Tax Abat�m�nt Poiicy 5tatement for Quaiifying De�elopmer�t Projects. �. C�Ri[h ICATI�NS ��F� AP��IC�4ilONS UAID�R SECYIOIVS Cil.�►, �, C.1, D.1, IV, ��1 D V The Hous�ng Depar�ment will review the application for accuracy and campleieness. Once complete, Housing Department wilf cer�ify eligibility af the appEicatian based an the criteria set for�h in Section III. A, 6, C.9, D.1, IV, and V of this palicy, as ap�licable. Once an application is certified, the Housing Depar�ment wilf infarm appropriate departments administering the incentives about t�e certified application. An orientation meeting with City departments and the a�plicant may be scheduled. Th� departrnents include_ � a. Housing Department: property tax abatement far resideniial properties and multi- family development projects, release of City liens. b. Econom�c and Community Development Department: pra�erty tax abatement for commercial, industrial, community facilities or mixed-�se �evelopmertt projects. c. Develapment Departmenf: deveiopment fee vuaivers. d. Water Department: impact fee waivers. e. Other ap�raPriate departments, if app[icable. 2. Once Development Department, Water Depar�ment, �canomic and Community Development Depar�ment, andlor other appropriate department receive a certified application frorn the Housing Department, _ each departmentloffice shall fill ou� a "Verification of NEZ Incentives for Cer�ified NEZ Incenti�es Application" and return it to the Housing Depar�m�nt for record keeping and tracking. �. APPL,ICATI�W REVI�W ARlD EVALUA��OI� �4R A�PLEC,4ilONS 1. Property Tax Abatemeni for Residentia� Properties and Multi-family Development Projects � � a. �or a campleted and cer�ified application far no more fE�a� five years of tax abatemenf, with Council approval, th� City Manager shafl execute a#ax ai�a#emenf agreem�nt wit� the applicant. b. For a completed and ceriifi�ed multi-fami[y development praject app[icafion for more than five years ofi fax abatemenf: (1) The Housing Department will evaluate a completed and certified app[icafion �ased on: (a) The project's increas� in the valua �f the tax base. (b) Costs to the City (such as infrastructure participation, etc,). (c) Percent af canstruction contracts cammitted to: (i) Fort Worth based firms, and (ii) Minority and Womer� Owned Business Enterprises (MIWBEs}. (d} Qther items which may be negotiated by tha City and the appiicanf. �F� (2) Consideration by Council Cnmmittee. Based upan fhe outcome of the evafuation, Housing Department may present the application to t�e Cify CounciPs Economic Development Committee. Should the Housing Department preser�t the app[icafEon to tf�e Economic Developmenf Committee, the Committee will cQnsider the application at an o�en meeting. Ti�e Committe� may: (a) Appro�e the application. Staff will then incorporate the app[ication into a tax abatement agreement which will be sent to the City Council with the Camrnittes's recammendation to approve the agreemer�t; or (b) Request modificatians fo the application. Housing Department staff will discuss the suggest�d madifications with the applicant and then, if the requested modificafions are made, resubmit the modified applicafion to the Committee for cansiderafion; ar (c} Deny th� appEication. The applicant may a�apeal the Commitiee's finding by requesting the City Council to: (a) disregard the Committee's finding and (b) instruct city staff to incorporate the applieation into a tax abatement agreement for fufure consideration by the City Council. (3} Consideration �y the City Council The City Counc'i[ reiains sale authorify to approve or deny any tax abatement agreement and is under no abligation to approve any tax abatement application or tax abatement agreement. The City of �ort Worth is under no obligatian to p�ovide fax abatement in any.amaunt or vafue to any applicant. c. Effective Date for Approved Agreements All tax abatements appro�ed by ihe City Counci! will become e�fective or� January 9 of the year follawing the year in which a CertificatE o� Occupancy (CO) is issued for the qualifiying development project (unless otherwise specified in the tax abatemer�t agreemen�}. Unless otherwise specified in the agreement, taxes levied during the canstruction of the project sha�[ be due and payable. 2. Property Tax Aba�emenf for Commercial, Inc�ustrial, Cammunity Faci[ities, and Mixed-Use Development F'rojects a. For a campleted and certified application for rto more than five years of tax abatement, wi#� Council approval, the City Manager shall �xecute a tax abatement agreement with the applicant. b. F'or a campleted and certifiied application for more than �ive years of tax abatement: (1) The Economic and Community Development Depa�ment will evaluate a completed and certified application based on: {a} The project's increas� in th� vafue of the fax base. (b) Costs to fhe City (such as infrastructure participation, efic,). (c} Percent of construction co�tracts cammitted to: (i) Fort Worih based firms, and (ii) Minority anc� VWorr�en owned Business �nterprises (MIWBEs). (d) Other items which may be negotiated by the Cffy and the applicant. 13 (2) Consideration by Council Cammittee � Based upor� the outcome of the e�aluation, the Econorriic and Community DeveJopmen# Department may present the application to the City Council's �conomic De�elopment Committee. Snould the Economic and Community Development Departrnent present the application to the Econofnic Development Committee, the Cammittee will consider the application at an apen meeting. Th� Committ�e may: (a) Apprave the application. Staff will then incorporate the applicafion into a tax abatement agreement which will be sent to the City Council with the Committee's recammendat�an to approve the agreement; or (b} Request madifications to the application. Economic anci Communi#y Development Departmer�t sfaff will discuss the suggested modifications with the applicant and then, if #he requested modifications are made, resubmit the madified applicatian to the Committee for co�sideration; or (c) Deny the a�plicatian. The applicant may appeal the Cammittee's finding by req�esting the Ciiy Cauncil to: (a) disregard tf�e Committee's finding and (b} instruct city stafF fio incorporate the application into a tax abatemeRt agreem�nt for futur� consideration by ihe City Counci[. (3} Consid�ration by the City Council The City Cauncil retains sole authority to appro�e or deny any tax abatement agreem�nt and is under na � oi�figation to approve any tax abatement a�plicatian or tax abatement agreement. The Cify of �ort Worth is under no obligation to pravide tax abatement in any amount or value to any applicant. c. Effecti�e Date for,4pproved Agreements A11 tax abatements approved by the Gity Go�ncil will b�come effecti�e on January � of the year following the year in which a Certificate of Occupancy (CO} is issued for the qualifying develapment project {unless Qtherwise specified in the tax abatement agreement). Unless atherwis� specified in #he agreement, taxes levied dUring #t�e construction of the project shall be due and paya�le. 3. De�elapment Fee Waivers a. For certified applicatians of developmer�t f�e waEvers that do not require Council approval, tF�e Development Department will review tY�e c�rtifi�d applicani's applicatiart and grar�t appropriate incenti�es. b. Fflr cer�ified appiicatiorts of development fee waivers that require Counci� approval, City sfatf wifl review the certified applicant's application and maice appropriaie recflmmendatians to the City Council. �4. Impact Fee Waiver a. For certifiec! appiications of impacf fee waivers that do not require Couricil approval, the Water D�partment wili review the certified applicant's appfication and grant apprapriate incenfi�es. 14 b. For cer�ified applications af impact fee waivers that require Council approval, the Water Department wi�f review the certified applicartt's applicatian and make appropriate recammendations to the City Councif. 5. Release of City Li�ns For certified applicatioRs of release of City iiens, the Housing Department wifl release the appropriate liens. 1lll. O"i��� RUL�S ��R7AIRIW� TO �ROF��R7Y �AX A�Ai�IVi�hli /�. R�CA��URE If the terms of fhe tax ahatement agreement are not met, the City Council has fhe right to cancef or amend the abatement agreement. In tne event of cancelEation, the recapture of abated taxes shall b� limit�d t� the year(s) in which the default occurred or continued. B. �NSP��TION AAID �li�APICEAL V�Rl1�ICATIOfV FOR MUL,iI��',�MILY, COMM��CI�►LI IN�USiRIA�, COIVIIVIl11V[iY �ACiL[T1�S AN� M[X���US� D�V��OPiV��i�Y PROJ�CiS The terms of the agreement shall include fihe C�ty of Fort Warth's right to: (1) review and verify the applicant's financiaf statem�nts in each year during the life of the agreement prior to g�-anting a tax abatement in any given year, (2) conduct an on sife inspection of tF�e project in_ each year during the life of the abatemen# to �erify compliar�ce with fhe ferms of fhe tax abatemen� agreement. C. �V�,�IJA�ION �Q� MULTIoF�AflAILY, COIMfYiV���CIAV [P1�US�RIAL., CO3UIMUF�ITY I�,�CILITI�S AN� MIX��-U5� ��V��O�'M�NT PFtOJ�CTS Upon. complet�on at e�nstrucfion of the facilities, the City shall no less than annually e�afuate each project receiving ahafement ta insure compliance with the terms flf the agreement. Any incidents of non-compliance will be reported to the City Cauncii. 4r� or befior� �ebruary 'Is� of ev�ry year during �he li�e ofi �he agreemeni, any individual or entity receiving a tax abatemer�t �From �he City of �ort l�ar�h shall provide informa�ion and documentafian which details the proper�y owner's compliance with the terms ofi �he res�ecfiv� agreemenf and shall ceriify that �he owner fs in compiiance with each applicable term of fche agreemenf. �ailure fo report this �n�orma4Pon ancf 4o provide the �required cer�ification by the abov� dead�ine shall resulf in G�11C@II�#IOTI of agreemenfi and any fiaxes abated in �he prior year being due ar�d payable. D. EFF�CT OF SALE, ASSIGN11flENT OR LEAS� O� PRO�ER71( lf a property in the NEZ on which tax is being abated is sold, the new awner may e�ter into a fax abatement agreement on the prope�ty for the remaining term. Any sale, assignment or lease af the proper�y which is not permitted in ti�e tax abatement agreement results in cancellation af fhe agreement and recapture o� any taxes abated after the dafe on which an unspecified assignment occurred. `F� VIII. O�F1E� IPlCENT1VFcS A. Plan reviews of praposed de�elopment projects in the NEZ wilf be expedited �y the Development Department. �. Th�e City Council may add the folfawing incentives tQ a NEZ in the Resoiution adopting tne NEZ: 1. Municipaf safes tax ref�nd 2. Homebuyers assistance 3. Gap financing 4. Lar�d assembly 5. Conveyance of tax foreclosur� properties 6. lnfrastructure im�ravements 7. Support f�r Low Incame Housing Tax Credit (l�IHTC} applications 8. Land use incenti�es and zoning/building cade exemptior�s, e.g,, mixed�use, density banus, parking_exemption 9. Tax lncrement F'inancing (TIF} 10. Pub�ic lmpravernent District {PID) 11. Tax-exempt bond financing � 2. New Model Blocks 93. Loan g�arantees 14. Eq�ity investm�nts 15. �ther ince�ttives thaf will e�Fec�uaie the infient and purposes of NEZ. 16 Exhibit B 31�8 Eastcrest Court Lot 3, Block i Eastcrest Addition Exhibit C Pr�ject D�scription Single Family Resi�ence . 90% Brick Veneer 1500�i900 square feet 3 �edroomsi2 Baths iwo ear ga�ages . Arched Windows at Front of House F�ont Yard Landscaped Microwa�re with buiit-in Vent-A-Hood Wood Burning �ire Place Buili-in 5ecurity Sys#em Comp�ter Area with CPU & Printer with a dedicated telephone line Vaulted Ceiling in Master Bedroom and Living Room French Doors Separate Tub/Showe� in Master Baihroom Garden Tub in Mater Bat�room ,- . �'a�T�o�Tx � App�icatian No. �� � � f � / � C�TY OF FOR�" 'VVORTS 1�TEZGHS4RHOOD E�PU'V�dER1�N7' ZONT (NEZ) P]�.OGRA.M PROJ�CT CERT�'ICATION A.PPL�CAT�ON FORM B FOR INVESTOR O'VVNERS {SI��IGLE �AIVYIZ.Y 4NL'� x. APPLICATi�N CB'ECK LIST Please sub�nii ilae_ fallov,+ing docurnentation witY� each property request�ed: - � A complete�`apg�ica�io�;�t��n �;�. ��-�L'• `� ° � •.�� �.jC�,: � A list of��.12;P�r�pertiesxo�uvr�ed.,by the applicant in �'ort Vliort�i _ ,, � ..� �bq h_• , [� A�a��icaiion fee of $25,�0 (far tax a.batee�ti�nt app�ica�ions�only) ❑ Proof of ownershi�, such as a v�razraxcty d�;ed, affi�avit of heirship, or a prabat�d will OR . evir�enca of siie�controZ, such� as option to buy - - �� ❑ Tit�e abstract�of the properiy�(op�ional).. ; : , . - ' For Rehabiiitatfon P'roiects �nlvc � "❑ �or a praj ect in fhe pla.z�ning stage, p�sase submit a com�leted set of I�e�abxlitatio� ' ,. �`tReznadel) Plan and a list o� eli�ibl� xehabilitatioii,c�sts*: �(fa� app�ieations n� fa� .-� aba�ements �nd development fee waivet-s for re�ab projecis onky) ❑ Once a project is compleied, please subzx�t praof d��the eiigib�e rehabi�ita�ion cost�* such � as is�voices, contracts, or receipts. (fox applicafions of tax abatemeuts only) * Bligible reb.abilitatir�n i.ncludes onl� physical improvaments to real groperty. It daes NOT anclude personal proparty such as furniiure, app�iances, equipment, and/or supp�Zes. Tata2 elia ble rehabil��ation cos�s shaIl eqnal io nz exeeed 30% af the Tartant CvUnty Appraisal District (TA➢},ap�raised value of the structure during tIie yeaz zehabilitation occurs. , , � z � II. —AppT'fcant / AG�N'� TNF�RM.t�.T��T�I — --� — — — , 1. Applica��: � 2. Contact Persvn: - fd�r_,__ �----�� �st,�.a� F��s��o�,,s�r�� . 3 . ���v,��.� ��'�' � �.� .al.(�{�Z'055: s.e ,_� ���._..�e�, x.._ ___ _ ri �. _— -, ._. _d - . . ��I'88t � �I�. 4. Phone no.: �l� _�7/-T3l� .. �. Fax Na.: 6. Email: � y�/� )��y) /+ ,lfj��J+' �+ ��6`l� L Lrf i "'YY�,��' i�iL � i✓ i 7. Agent (if a�y} 8: Add.ress: . _ _ _ . - - - , . _ Street ,.: 9�. Phone no.: . • 21. Emait: _ Gity lU. Fa� No.: �--T.Y,� 7'� 1d � sta�� ZI�! ' �f]'��� �� - Siate Zip � - s � _ � If yo� need �urther rnformaiian or claz��caiioa, please contaei Chun-Y Lu at {817) �i1-73$1 � ox �3ea Cura at {817) 871-8036. � _ � � � 1 �� � �ORT�ORTH , E , ��� . III. PRUPERTY �LIGIBILITY ' � —� .� —� —. — _ 1. Piea�e Iist dovvn the acidresses and legaI descriptions of the property �vhera you are �pplyzng fox N�Z i,ncentives and otlier properties yau o�vcrn i� Fort Wortli, Attach metes and bou�ds deseription if no address ar Iegal deseription is availa�Ie. Ta61e �. Propert,y' Ownexship. Address � (Praject Lacation) i � . i . � _ I :, �; _ 7ap Legal Descriptia� � Code Subdivision Lot Na. � Block No. I - -� . -- - - �- - , � ����°f� � - -- , d�� I �-. . - �- - � � � �.�� i. - - ��.�-����-��-�,�� - ���,�� - - ��'�� - � - , � -�.. - -- . - . .-- _ _ f - -- �-I 1 J � -- - -- - - � - I I .- . . - � � I (1'[e$se attach additional sh�eets of papex as needed,} � � � � ��. Far �each praperties listed in Tab1�e� I;•pTease ch-eci� the boxes belo�v io indicate if: . �� • there are taxes due; or ��1� . . � ther� axe City Iie�s; or �„� � , • yau have beer� subj�ect to a Builr�i.ng Stan.dards Co���ion's C3xder of Demolitaon where the property was demol%shcd within the last five years. � p � � k � Tabte ,� Pro�erty Ta�ees and CiL.y Liens � . . Address � Propez-iy � - -- �xty Liens on Property - . --: ���t� _ -, � :;:.= -3: Ta.xes �=W':eed EoaFi-d-uglOpen _,'..DemaIitioz�•� Paving -� Or.dar of-. � . � "' ... . " ? . �_��• � � -:, -:Du� �- .n, ��iens � "S�ucttyre Liens -�� Liens � :- Liens Demolition� � .,. . �I . - � — .� -- , � i— ❑ - � -� ❑ — �irt;� �:� � c� ' _ � �t - � rz. . , , - — � — ❑ - w ��-r"A .�"" � - ' _ ' ' �; Ws: ;',r''.1 ,�,T.'��, - , , . ?� � . � . . .: �.- _,:.�� . u �r �'�_ - — �-- _.. � � . � � .. _ �.__Ei: .. ...�..� , . � . . . � 0 . _ 0 := � � ._ .� , �= � =� � - � � . � . ! �. . . . � � � � -- C� � - 0 -- ❑ . . ❑ - C] - I � . - , . � -� - o � - o . � . _.,.ti � : - ., o- � � . ' � ' � _ s� ,�w �" 4 � :: c ' -� � � ' ❑ ❑ � - � � �— -'- � ' — -❑ � � 1 I � � I - (Please attach aciditiun�I s�iee#s of paper as needed.) - — � � - - — - 3. D�a you own othex pro�erties under oiher �ames? ❑ Yes �io � �Tf Yes, pl.ease specify 4. Does t�e praposed development cflrjform wiih Ciiy of For# V4'orth Zaning? f[] Yes ❑ No �� S. Is�this property ui�der a contract for deed? 0 Yes � �No 2 0 a d Fv�.T �aRrx 6. Has the canstxueiaan on the property been completed ar is it in the p�anning stage?'�hat type of canstructian? . � ❑ Cozzstn�ction Comnl�ted �'1 Undex Constna.c�iaz� �'In P1axulin� Sta�e ❑ New Constiv.ction [] Rehab ❑ New Conslruction �0 Rehab �New Constru�t�an [] Rehab 7. If the construct�on on the property has been caznpleted wvhen this application is snhmii#ed, wl�en was the work done? 8. - If it is a rel�ab praperty, does (or will} the reh�.bilitat�on work* do�e an the prape�rty eqnal to at least 30% of t�e Tarr�t County .t�.ppraisaI Dis�-ic� {TAD) as�essed value of the s�ructure durxng the year re�iabi�itation (renr�odeled) occ�zrred`? ❑ Yes ❑ No *Only physical improvexnents to xeal �aroperty is eligi,bl0, DO N4T include personal property such as �nituxe, appliaxices, �qtupment; andlor supp�ies. .N..� . . ti TN��NTTVES —� — —� — � —• — — — — — _.._� •_ , .. . . ,_.. :�; � � . . � - 1.� Wha'°�ncentives are yon aAPI�*ing for?; .� _� � Mc�iieznal PropertY Tax Abatezz�enis .. • . � . � �Develoumenf Fee T►'4''aiver"s - � , � All build�ing permit related �f�es (inciuding Plans �eview and Inspections) " � How much is your total dev��aprnent costs? $,�� ��'�,,� d Ho� zxiuch is the total square footage of yotir pro�ect? ����� squa�e feet � �•�� �� Plat application �ee (in�ludi�ng concept plan, prelizninary p�at, final plat, short farni rcplat) � Board of Adjustmeni a�plica#ion fee ❑ I]emolition fee � • " � [] Str�icture maving fea � „� .. , . � C`omrra�unityFaciliti�s:Agreeznent.-{�FA) app�icatiQn:fee.•. , ... . .- _ _: �. . ,. . . � ��aning ap�Ii�atio� fe�� • � � • � � . . •. ; . . � � Stree� and utilzty easernent �n.t�act F�e Waivers ' � Impact �ee waiver �� . - �:. . . Meter Si�e .��� How rnany meters7 ��� .•� , ' ReIease nf Ciiv� Lien� � ❑ Weed liens . � [] ' Board up/open �tructure liens . ; . ` ; [] � Dez�iolition �iens . � . ; � J ❑ Paving liens � � � � € F�ORT �ORTH � V. ACKNOWLEDGMENT� � —' — — — — — — - — I�iereby certiiy tha.t fhe infpzmation provid.ed is t,�ze and accurate to the best of rny kuoa,ladge. I�.ereby acl�o�rledg� tk�at I have received a capy of NEZ Basic In.centzves, whi.c� gov�rns the gxani�ng of ta� abataments, fee�waivers and `rel�ase of City liens, ana t�,at any VIOLATION of �khe terms of the NEZ Basic Incantives or MISREpR�SE�A��pN s�aZl cons�ifut� g�-ounds for rejectian o�an applicatzon ax terr�nation af incen�tives .at the dis�retion of the City. . � I understand thai the appraval o.f fee waivers and other inceritives shalI not be deemed ta be approval of any aspect of the p.roj eet. I understand that I am responsible in obfainiz�g requ�red permits and in�pections from the City and in ens�ri�g ��e p�-oJect is Ioeated in the carrect zoning district, I agree to provide any addit�onal infarmaiian for deterzniniz�g etzgibility as raquested by the City. .-� �'"��1�( �p �. �f�l��;� 11.cSYi�t.�.�, . (�� l� ,.. _ . �(T`Y�ED NAME) [A ORIZ�D S�G�VATURE � ���� _ ) r A'7`E) ="n:;,� - -- -.: - _ �= ���.�. „ • . • . -. . . . y.i �-- �= ~''-�- . —_ — �_i�-�<<" .�7�C."rC�{! fF3.��L�, ���l�t�[}I" ��i7:41� \` � � �1�'If�fl �til' . — 'L. _ — = r -- ' . . dJll�!' `�2 1 }�1P` " �5•:,.-- . � �I? �)C ' . .' . � '�-1����� .— _ _ _ _. . : ... �- nf.� �����i�-t �1V��rt�fi.1����R�;tr�::' x�t��•t�xZen� � � � - _- _ _ -,— - � �:I:�' ; �,��Fi�;t� � - . - . � ' � _ _ _ _ �!'f��-c�ci��a��-t�r��� '�rt•�t�r, T'�3�•� 1�•�r,r-E�, `�'ixaw 7 7 ';�: <=: :_ =�:� — ; `�r:,� .. , . ci 10Y - . �=`-= ,,;_:- _- _ -�_.t�- '-�_::� _ - - � � .i�2� 17� :3�%.E-7�3.rt� - . . . -_ _. � �I:_ ;—'� �, _ � ---. ; _ —�—�— — _ . '�11?���f2'C1 ' . _ . . _ _ _ _�'�wrl�-SY��.r[��.tx.tts _— - -: . - - - _ -. �_.. _x. E�ectronYc version ofthis %rm is available byrequest. YleasE call �17-872_7381 to req�es't�a eo . --- --- - - . PY For Office Use Only — _-- -- -- - - _ _ � _';. -�pplzcat�on Na,. .� , � � ��� �� �' Tn w�-iich NE�� � Conf`�rm witil-Zonin 7 .� TAD ID � � . g • `�O.Yes ❑No � � Contract foz- deed? . ❑ yes �j. Na Type? [�f .New construction ❑ �teh�.b - Con:stniction comple�ivz� date? ❑ Befoxe NEZ � [� Aft�r NEZ Ownexsbip �� Yes� � No Rahab at or hi gh e r t h� 3 p%? ❑ yes ❑ No Cansistent with the NEZ plan? � yes � Tax current on this. ro e? ' b��4 P. P�' �� Yes ❑ No Ta.x currei�t on o�her ro erfi�s? City �ens an this pr�perty? .�. : , � . � � Yesc� Q No .� - City liens on�cither properties? � Vireed liens ❑ Yes � No � Weed liens ❑ Yes � No � Board-up/op�n structure Izens ❑ Yes � No � � � . Baard-up/apen structur� liens [] Yes � No � .� Demalition liens ❑ Yes 0 No � Derriolit�on liens ❑ Yes �/] No e Paving liens ❑ Yes � No � Paving �iens � ❑ Yes � Na , + Order of demolition ❑ Yes [7]( No � Order of demolition � Gertifred7 , ❑ Yes � No ❑ Yes ❑ No Certifiad by . Date certification issued? �(� �l �� If nc�t certif ed, reasan � . � 1 � Referred to: ❑Economic DeveIopment []Houszn — : — .- _ _ _ - g ('�I}evelopmen.t- �,Wat�r -OCade �TPW � Revised A�gust 23, 2��1 - � � 4 - City o�FoYt WoYth, Texas Mayor a�d Cou�ci� Con�r�unication DATE 91� OIQ2 � su�a�c-r REF�REiVC� NUMBER LOG�IAME PAGE ��� 9�3�_ _�� . _ _ ���Ez ` 1 of 3 AUTHOR{ZATION TO ENTER INTO TAX ABATEMENT AGREEMENTS WITH THE FORT W�RTH HOUSiNG F[NANCE CORPORATION FOR THE DE�/ELOPMENT OF SIXTEEN SINGLE-FAMILY HOMES FOR THE EASTCREST SUBDIVISION LOCATED IN THE STOP SIX NEIGHB�RHOOD EMPOWERMENT ZONE REC�MMENDATION: It is recammended fhat the City Gouncil: Approve �he Fort Worth Housing Finance Carporation �FWHFC) application for Mun9cipal Property Tax Abatem�nt for the �asfcrest Subdivisian; and 2. Find that the statements set far�h in the recitals of the attached Tax Ab�tement Agteements (the Agreements) with FWH�C are true and �correci; and 3. Authorize th� City Manager ta enter in#a tax abatement agreernents with �WHFC far the developm�nt of sixteen single-famify hom�s in the Easicrest Subdivision focated in the Stop Six �Neig�borhood Ern�awerment Zone (NEZ), in accordance wiih the NEZ Ba�ic Incentiues. D1SCU5S10N: The FINHFC is th� developerlowne� of the Eastcrest Su�bdivision in the 47Qa�B{ock af East Berry Street an� Eastcrest Court loca#�d in NEZ No. 1: � � � The FWHFC applied fo� mUnicipal property tax abatemer�t under the NEZ. Basic Incenti�es (M&C G- 13208R c�ated Jt�ne 5, 2a02, M&G G-13580 dated April 2, 2002, as amended, and M&C G-1�662R dated July 23, zaa2, as amended). The Housing Department has reviewed tt�e application and certified that the property meets t�e �ligibifify criter�a to receive NEZ municipal property iax abatemen#. The NEZ Basic �nc�n�ives offers a five�year municipa� praperiy #ax abatement of tt�e increase� value of �rriprovemer�ts to a devaloperlowner of any new home �onstructed within a NEZ. Upon execution of t�e Agreements, the totaf assessed value of eacf� home ira the Eastcrest 5ubd��ision used fior cafculatir�g municipal property tax wil! be frozen far a fi�e-year period, stariing on January 1, of the year #'allowing the year in which the home is sold, at the pre-impro�ement value of each lot as defned by the Tarrant Ap�raisal District (TAD) an January �, 2002, as fallows: • Pre-{mprovement TAD Vaiue of imp,rovements $ -0- �. Pre-Impro�ement TAD Value of Land $1,O�O�per lot .. � Total Pre-Improvement TAD Value $�,D04 per lot ��ty of .�'ort YYorth, Texas Mayor an� Council Commu�ic�tio� DAT� RE�ER�NCE NUMB�R LOG I�AM� PAGE 91� dID2 � .��� 923� 05NEZ ` � 2 of 3 5L1B,]�Ci AUTHORIZATI�N TO EN ER INTO TAX ABAT�MENT AGREFMENTS WITH THE � . FORT 1NORTH HOUSING FINANCE C�RpORATION FOR THE DEVELOPMENT OF SIXTEEN S1NGLE-�AMILY HOMES FOR THE EASTCREST SUB�IVIS�ON L�CATED I _ IN THE STOP SlX NEIGHBORHOQD EMPOWERMENT ZONE Address 3'I OD Eastcrest Court 3101 Eastcrest Caur� 3'f 04 Eastcrest Caurt � � 105 Eastcrest Court 3108 Eastcrest Caurt 3109 Eastcrest Court 31 � 2 Eastcrest Court . 31 � 3 Eastcrest Court � � 311 � Eastcrest Ca�rt 3120 Eastcrest Court � 3124 Eastcresf Court 3128 Eastcre�t Court � 3132. Eastcrest Cour� 3133 Eas#crest Caurt 3136 Eastcr�st Court � 3137 Eastcrest Court Leqal Descr9ation Lot 10, Block 1, Eastcrest Addition Lot fi, Block 2, Easfcrest Add9tion' Lot 9, Block 1, Eastcrest Addiiion Lot 5, Bloek 2, Eastcrest Addition Lot 8, Bfock 1, Eastcrest Addition �.ot 4, Block Z, Eastcrest ,4dditior� Lot 7, Block �, Eastcrest Addition Lot 3, Biocic 2, Eastcrest Addition �.ot 6, B1ock 1, Eastcrest Addition Lot �, Black 1, Eastcrest Addition Lot 4, Block 1, Eastcrest Acic��tian Lat 3, Biack �, Eastcrest Addition Lot 2, Bfock 1, Eastcrest Addition Lo# 2, Blocic 2, Eastcrest Adciition l.ot 1, Block 1, Eastcres# Addition I�of 1, Block 2, Eastcrest Addition , FWHFC expects to complete canstruGtion on c�r before ,�une 30, 2D43, and sel! the sixteen homes to n�w owners. Upon the sale of each �ome by FWHFC, tne Housing Departm�nt staff will prEsent the propos�d ass�ssment of the tax abatement agreements to #h� City Council for appraval if the n�w � owner meets all e{igible cr�teria as �stated in the NEZ Basic Incentives, �WHFC vuill i�vest $1,6QO,OQO to construct sixteer� single-family }iomes in the Eastcrest 5�bdivision.. I The location af ti�e prnpased develapment,..#ypical e{evatinn, ar�d proj�ct descriptian are atfiached to t1�is Mayor and Council Commun9cation. The municipal praperty tax on the impraved vaf�e is estimate� at $5�8 per ho�se per year ar a total o� $44,640 ov�r the fve-ysar period. � On August 'f 3, 20Q2,� the abov� proposal was endorsed by th� Ecanomic and Community De�elapment Committ�e for City Council approval. The Eastcrest Subdivision is iacated in COUNCIL DlSTRICT 5. �C`ity o�'.F'art Worth, �`exas Mayor and Cou�c�l �Garr�mur�icatior� DATE� REFERENCE NUMBER LOG NAME RAGE s/� aio� � C�� 923� - aSNEz �- _ � ot 3 sug��cY . AUTHORIZATfON TO ENT �R INTO TAX ABATEMENT AGREEMENTS WlTH THE FORT WORTH HOU5ING FINANCE CORF'ORATION FOR THE DEVELOPMENT OF S�XTEEN SINGLE-�AMiLY HOMES FOR THE EASTCREST SUBDiViSfON L.00ATED IN THE ST�P S1X NEIGHBORHQOD EMPOWERMENT ZONE FISCAL INFORMATIONICERTIFfCAT10N: The �'inance Director cer�ifi�s thai this ac#ian wifl have na material effect on Gity funds. � � � � i RR:n 5ubi[nitted far City Manager's Ofree by; Raid Rector �riginating Department Head: ]e�rome Walker AdditionAl Inforrss�tion Contact: Jerome Waiker • I FUND ' ACCOUIVT I CEI�ITER I AMOUNT CITY SECRE'TARY , {ta) 614� ` � ` I f � � � I � . 7537 � (from) � ; APPROVFD 09114J02 � I� 7537 � ` �