HomeMy WebLinkAboutContract 28119CIiY ���R�iA��
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STATE OF TEXAS §
COUI�TY OF TARRAI�TT § � �, � � �, � j � : " �� � �'
TAX ABAT�MENT AGREEMENT FOR PROPERTY LOCATED 1N A
liTEIGHBORHOOD EMPOWERMENT ZONE �`
This TAX ABATEME�TT AGREEME1iTT (��Agreement"} is entered into by and
between the CITY OF FORT WORTH, TEXAS (the "City"), a%ome rule rnunicipal
corporatian organized under the laws of the State of Texas and acting by and �hrough
, lt5 duly authorized Assistant City Manager, and the Fort Warth
Housing Finance Corporation, a non-profit housing development
corparation, ("Owner"), acting by and through Jerorne Walker, its duly
authorized Owners' Representatir�e.
The City Council of the City of Fort Worth {'�City Counci�") hereby finds and the City
and Owner hereby agree that the following statements are true and correct and cans�itute the
basis upon which the City and Owner have enker�d into this Agreement:
A, Chapter 378 of the Texas Local Government Code aIlows a municipality to cr�ate
a Neighborhood Empowerment Zone (NEZ) if the municipality determines that
the creation of the zone wauId pramote;
1, The creation of affordable housing, including manufactured housing in the
ZOI1P,y
2. An increase in econarnic develflpment in the zone;
3. An increase in the quality aF sacia.l servic�s, education, or �ublic safety
provided to residents of the zone; or �
4. The rehabilitation of affardabl� housing in the zone.
B. Chapter 378 af the Texas Local Government Cade provides that a rr�unicipality
that creates a NEZ, rnay enter into agreem�nts abating municipal property taxes
on property in the zone.
G On July 31, 2001, the City adopted basic incentives for property owners vvho own
property located in a NEZ, stating that the City eIects to be eligible to participate
in t� abatement and including guidelines at�d criteria go�erning t� abatement
agreements entered into between the City and various third parties, titled "NEZ
Basic Incentives" ("1VEZ Incenti�es"), which is attached hereto as Exhibit "A"
and hereby made a part of this Agreement for all purposes.
D. The NEZ Incentives contains appropriate guidelines and criteria goverrrning t��
abatement agreements to be entered into hy the City as c��1C��ri�,a��aa�� C�,f���t�r
312 of the Texas Tax Code, as amended (the "Code"). "
E. On September 11, 2001, the Fort Worth City Council adopted Ordinance Na.
14767 {the "Ordin�nce") establishing "Neighborhood Empawerm�nt
Reinve�tment Zone Na. 1," Ciry of Fort Worth, Texas (the "Zone").
F. Owner owns certain real property located entirely within the Zone and that is
more particularly described in Exhibit "B", atiached hereto and hereby made a
part of this Agreement for all purposes {the "Prem�ises").
G. Owner or its assigns plan to cons�ruct the Required Improvements, as deiined 'm
Section 1.1 of this Agreement and as described in Exhibit "C", on the Premises to
be used for as a single-farniIy residence that will be owner occupied, (th�
��Project").
H. On September 28, 20D1, Ownex submitted am application far NEZ incentives and
tax abatement to the City concerning the contemplated use af the Premises {the
"Application"), attached hereto as Exhibit "D" and hereby made a part of this
Agreement far all purposes.
I. The Ciiy Council finds that the contemplated use af the Prernises, the Required
Tmprovements, as defined in Section 1.1, and the terms of this Agreement are
consistent with encouraging de�elopment of the Zone in accordance with the
purposes for its creation and are in compiianc� with the NEZ Incenti�es, the
' Resolution and other applicable laws, ordinances, rules and regulations.
J. The City Council finds that the terms of this Agreement, and the Premises and
Required Improvem�nts, satisfy the eligibility criteria of the NEZ Incentives.
K. Written natice that th� City intend� to enter into this Agreement, along with a
copy of this Agreement, has been furnished in the manner prescribed by the Code
to the presiding officers of the governing bodies of each of th� taxing units in
which the Premises is located,
' 1�TOW, THEREFORE, the City and �wner, for and in cansideration flf the terms and
conditions set forth herein, do hereby con�ract, covenant and agree as %llows:
1. OWl�TER'S COVE1�1A1�TTS.
1.1, Real Pronertv Imnrovemenfs.
Owner sha11 canstruct, or cause to be constructed, an and within the Premises
certain improvements consisting af a single family residence, {i) of a� least 1,2Q� square
feet in size, and (ii) ha�ing a constructior� cost upon completion of $ 60,000 including site
development costs but such minimum construckion costs shall be reduced by any
construction eost savings (collectively, the "Required Impravements"). Owner shall
provide a survey of the completed home showing Required Irnprovements before the
home is sold. The parties agree that the final survey shall be a p�r: �a��ii�� ��,���,��et� �a:�td
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shall be labeled Exhibit E. Minor �ariations, and more substantial variations if approved
in writing by both of the parties to this AgreemenC, in the Required Iinprovements fram
the description prfl�ided in the Application for Tax Abatement shall not constitute an
Event of Default, as defined in .Section 4.1, provided that the conditions in the first
sentence of this Seckion 1.1 are met and the Required Improvements are used far the
purposes and in the manner described in Exhibit "D".
1.�, Comnletion Date of Reau�red Imnrov�pients.
Own�r co�enants to substantially complete canstruction of all of the Required
Improvements within two years from ihe issuance and receipt of the building pernnit,
unless delayed because of force majeure, in which case the two years shall be extended
by the number of days comprising the speci�ic forc� majeure. For purposes of this
Agreement, force majeure shall mean an e�ent heyond Owner's reasona�le control,
including, without limitation, deIays caused by adverse weather, delays. in receipt of any
required permits ar approvals from any go�ernmental authority, or acts of God, fires,
strikes, national disasters, wars, riots and material ar labor res�-ictions and shoriages as
deterinined by the City of Fort Warth in i�s sale discretion, which sh�ll not be
unreasanably withheld, but shall not include construction delays caused due to purely
financial matter�, such as, without limitation, delays in the abCaining of adequate
financing.
1.3. Use of Prem��' gt
Owner covenants that the R�quired Improvements sha11 be canstructed and the
Premises shall be sold so that it is continuously used as the primary residence of the
Home Buyer in accordance with the descriptian of the Project set forth in Exhil�it "D". In
addition, Owner covenants that throughout the Term, tI�e Required Itnprovements shall
be operated and maintained for ths purposes set forth in this Agreem��t and in a manner
that is cansistent with the general purposes of encouragittg developrnent or
redevelopment of the Zone,
2. ABATEMEI�T AMOUNTS, TERM5 AND COliTDIT�Ol�TS.
Subject to and in accordance with this Agreem�nt, the City hereby grants to Owner a real
property tax abatemeni on the Premises, the Required Impro�ements, as specifically provided in
this Sectian 2("Abatement")� "Abatement" of real progeriy taxes only includes City of Fort
Worth-imposed taxes and not taxes from ot�er taxing entities.
2.1. Amount of Abatemen�
The actual amount of the Abatement granted under this Agre�ment shall be
based upon the increase in value of the Premises and the Req�i�����pr�x�;�.c�;��� ��er
their va�ues on Januaxy l, 20Q2 and according ta the Tarrant '��p.px�fs°al ��l���iri��, t�is
amount is $1,OOD the year in which this Agreement was ent�red�n�n: �
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One Hund�red percent (100%) of the increase in v�lue from the
constructian of the Required Improvements.
If the tatal construction costs of the Required Improvements are less ihan as
provided in 5ection 1.1 af this Agreement, except that such minimurn construction costs
shall be reducc;d by construction cost sa�ings, Owner will not be eligible to receive any
Abatement under this Agreem�nt.
�.� Term af Abstement.
Th.e term af the Abatement {the "Term"} shaIl begin on January 1 of the
year following the calendar year in �vhich the Required ImproWem�nt is sold to a
Home Buyer to be used as its primary �'esidence {°`Beginning Date") and, unless
sooner terminated as herein provided, shall end on December 31 immediateIy
preceding the fifth (5`�) anniversary of the Beginning Date. Upon the sale to a
Home Buyer, City shall certify that the Required Improvements have been
cornple�ed in satisfaction of the terms of this Agreement.
However, �he Campjiance Auditing Term wi11 begin on khe date this agreernenC is
executed and will end on the expiratian date of the Terna.
�.3. Protests Over AAnraisals or Assessmen�s,
Owner shall have the right to proiest and contest any or all appraisals or
assessments oi the Premises andlor improvements t�ierean.
2.4. Abatement Annlication Fee.
The City acknowledges receipt from Owner of the required Abatement
application fe� of twenty-five dollars ($25.OQ).
3: RECORDS. CERTYFICATION AND EVALUATION QF PRO,TE�T.
3.1. Insnection af Premuises.
Between the �xecution date af this Agreement and the iast day of the Term, at any
tsme during construction of the lZequired Improvements and following reasonable notice
to Owner, the City shall have and Owner sh�ll provide access to the Premises in order for
the City to inspect the Prernises and eaaluate the Required Impro�ements to ensure
compliance with the terms and conditions o� this A�reement. �vvner shal] cooperate
fully with the City during any such inspection and/or evaluation.
3.�. Certificatitan
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Property Owner, and Hame Buyer once the property is sold, shall certify annua�ly
to the Ci�y that it is in compliance with each applieable terrri of this agreement. The City
shall have the right to audit at the City's expense the iinancial and business records of
Owner that relate ta tYY�e Canstruc�ian of the Project and Abaternent tenns and conditions
(calleciively, ihe "Reeords") at any time during the Compliance Audi�ing Te:rm in order
ta determine compliance with �this Agreement and to calculate the correct percentage of
Abatement available to Owner. Owner shall make all applicable Records available to the
City on the Premises ar at another Iocation in the City following reasanable advance
notice by the City and shall otherwise caoperate fully with the City during any audit.
3.3. Pro�i�ion of Information,
On orr before F�bruary 1 following the end of every year during the Compliance
Auditing Term and if requested by the City, Owner shall provide information and
docurnentatian far the previous year that addresses Owner's compliance with each of the
terms and conditions of this Agreement f�r tfiat caler�dar year.
Failure to p�ovide all irtformation within ihe control o,f Owtter required by this Section
3.3 shall corastitute an Eveni of De,fault, as de,fined in Section 4.1.
3.4. Determ��tion of Comaliance.
On or before August 1 of each year during the Cornpliance Auditing Tern�, the
City shall make a decision and rule on the actual annual percentage of Abatement
available to Owner for the following year af th� Term and shall notify Owner of such
deeision and ruling. The actual percentage af the Abatement granted for a given year of
the Term is therefore hased upon Owner's compliance with the terms �nd conditions of
this Agreerne�t during the pre�ious year of the Compliance Auditing Term.
�. EVENTS OF DEFAULT.
4.1. Defined.
Unless otherwise specified herein, Qwner sha.il be in default of this Agreement if
(i) Owner fails to construct the Required Improverjnants as defined in Section 1.I; (ii) ad
valorern real praperty taxes with respect to the Premises or the Praject, or its ad valorem
taxes with respect to the iangible personal property located on tha Premises, become
delinquent and Owner does not timely and properly foilow the legaZ praeedures . far
protest andlor contesC of any such ad valorem real property or tangibie personal property
taxes or (iii} Home Buyer does not use the Prernises as pnmary residence once the
ahatement begins (collectively, each an `�Event oi Deiault").
4.2. Notice to Cure. � - - �
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' Subject to Sect�nn 5, if the City determ�nes that an Event of Default has accurred,
the City shall provide a written notice to Owner that describes the nature of the Event of
Default. Own�r shaIl have ninety (9Q) calendar days from the date of receipt of this
written notice. io fully cure or ha�e eured �he Event af DefauIt. Tf Owr�er reasanably
belie�es that Owner will require additional time to cure the Event of Default, Owner shall
pramptly notify the City in writing, in which case (i) after advising the City Council in an
open meeting of Owner's efforts and intent ta cure, Owner shall have one hundred eighty
(180) calendar days from th� original date of receipt af the written notice, or (ii) if Owner
reasonably belie�es that Owner will require more than a�e hundred eighty (180) days to
cure the Event of Default, after advising the City Council in an open me�ting af Owner's
efforts and intent to cure, such additional rirne, if any, as may be offered by the City
Caunei3 in its sole discreiion.
4.3. Termination %r E�ent of Default and Pavment of Liquidated Dama�e .
If an Event of Default which is defined in Section 4.1 has not been cured wit�in
ti�e time frame specifically allowed under S�ctian 4.2, the City shall h�ve the right to
terminaie this Agreement immediately. Owner acicnowledges and agrees that an uncured
Event of Default will (i} harm the City's economic development and redevelapment
efforts an the Premises and in the vicinity of the Premises; (u) require unplanned and
expensive addiiional administrative oversight and involvement by the City; and (iii)
otherwise harm the City, and Owner agrees that the arnounts of actual damagas therefrom
are speculative in nature and will be difficult or impossible to ascertain. ThereFore, upon
terminai�on of this Agreernent for any E�ent of Default, Owner shall nat be eligible for
the Abatement for the remaining Term and Owner shall pay the Gity, as liquidated
damages, aZl t�es that were abated in accordance vvith this Agreement for each year
wh�n an Event oi Default existed and which otherwise would have been paid to the City
in the abs�nce of th�s Agreement. The City and Owner agree khat thss amount is a
reasonable approximation of actual damages that the City will incur as a result of an
uncured Event of Default and that this Section 4.3 is intended to provide the City with
cornpensation for acCual damages and is not a penalty. This amount may be recovered by
the City thrangh adjustments made to Owner's ad vaZorem property tax appraisal by the
appraisal district that has jurisdiction aver the Premises. �therwise, this amount shall be
due, owing and paid to the City within sixty (60) days following the effective date of
ternunation of this Agreement. In the event tl�at all or any portion of this amount is nnt
paid to the City within sixty (60) days following the effective date of temunaiion af this
Agreernent, Owner shall also be liable for all penal�ies and interest an any outstanding
amount at the statutnry rate for delinquent ta�ces, as deterir�ined b�+ the Cade at the rime af
the payment of �uch penalties and interest (currentIy, Section 33.D1 of ti�e Code).
4.4, Terr�ination at Will.
If the City and Owner mutually determi�e that the de�eloprnent or use of the
Premise5 or the anticipated Required Improvements ara no longer apprapriate or feasible,
or that a higher ar i�etter use is preferable, the City and Owner may terminate this
Agreement in a written %rmat ti�at is signed by both parties. �n tl�� ��a�t;��,�}-if �te �e:c�q
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has com�nenced, the Term shall expire as of the effective date of the termination of this
Agreement; (ii} there shalj be no recapture of any taxes previousIy abated; and (iii)
neither party shall have any further rights ar obligations hereunder.
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G.
City:
EFFECT OF SALE OF PREMISES.
The Abatement granted hereunder shall vesE only in Ovc+ner and cannot be
assigned ta a new owner of all or any portion o� the Premises and/ar Required
Tmprovements without the prior written consent of the City Council, which consent sha11
not be unreasonably withheld provided that (i) the City Council finds that the proposed
assignee is financially capable of ineeting the terms and conditia�ns of this A�reement and
(ii) the proposed pu�'chaser agrees in writing to assume all terms and conditions of Owner
under this Agreement. Owner rnay not otherwis� assign, �ease or convey any of its rights
under this Agreement. Any attempted assignment without the City Council's prior
written consent shall canstitute grounds for terntina�ion of this Agre�ment and the
Abaternent granted hereunder following ter� (1Q) calendar days of receipt of written
notice from t�e City to Ovaner.
In no event shall the abatement term be extended in the event of a subsequent sale
or assignm�nt.
Ii�OTICE5.
All written notices called far or required by this Agreement shall be addressed to
the %Ilowing, or such other party or address as either party designates in writing, by
certified mai1, postage prepaid, or by hand delivery:
Owne�:
City of Fort Worth
Attn: City Manager
1000 Throckmortan
Fort Worth, TX 76102
�. MI5CELLAl�E0U5.
7.1. Bonds.
Fort Worth Housing Finance Corpara�ion
1000 Throckmnrton
Fort Worth, Texas 76102
The Required Improvements will nai b� financed by tax increment bonds. This
Agreement is subjeet to rights of holders of autstanding bonds of the City.
9.�. Conf7icts of �nterest.
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Neither the Premises nor any of the Required Improvements covered by this
Agreement are owned or leased i�y any member af tne City Council, any member of the
City Planning or Zoning Co�nmission or any member af the governing body of any fia�cing
units in the Zone.
7.3. Conflicts Between Docume��s.
In the event of any conflict between the City's zoning ordinances, or other City
ardinances ar regulations, and this Agreement, such ordinances or re�ulations shall
control. In the event of any canflict betweeri the body of this Agreement and Exhibit
"D", the body of this Agreement sha�l control.
'�,4. Future Applicatian.
A portion or all af the Premises andlor Required Tmprovernents may be eligible
for complete or partial exemption from ad valorem taxes as a result of existing 1aw or
future legislatiori. This Agreement sha11 not be eonskrued as evidence that such
exemptions do not ap�ly to the Premises andlor Required �tnproeements.
7.�. Gitv Council Authorj��tion.
This Agreement was authorized by the City Council through approval of Mayor
and Council Communication Na. on , which, among other
things, authorized the City Manager to execute this Agreement on behalf of the City.
'�.6. Estopuel Certi�icate.
Any party hereto may request an estoppeI c�rtifica�e from another party hereto so
long as the certificate is requested in connection with a bona fide business purpase. The
certificate, which if requested wi11 be addressed to the Owner, shall include, but not
necessarily be lirnited to, statements �at this Agreement is in full farce and effect
witho�t default (or if an Event o� Default exists, the nature of the E�etzt of Defauit and
curative action taken andlor nzcessary to effect a cure), the remaining term of this
Agreement, the levels and remaining term of the Abatement in sffect, and such otk�er
matters reasonably requested by ihe party or parties to receive the certificates.
7.7. Owner Standing.
Owner shall be deemed a proper and necessary party in any litigation questioning
ar challenging the va�idity of this Agreement or any of the under3ying 1aws, ordinances,
resoiutions or City �ouncil � actipns authQ�izing this Agreement, and Owner shall be
entitled to intervene in any such litigatian.
'�.�. Venue and Juri�diction.
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This Agr�ement shall be construed in accordance witka the laws of the State of
Texas and applicable ordinances, rules, regulations or policies of the City. Venue for any
aciion under this Agreement shall lie in the 5tate District Court of Tarrant County, Texas.
This Agree�nen� is performable in Ta�rrant County, Texas
7.9. Recardatian,
A certified copy of this Agreement in recordable form shall be recorded in the
Deed Records of Tarrant County, Texas.
'�1Q. Se�erabilit�.
If any pravision of this Agreement is held to be inr�alid, ijlegal or unenforceable,
the validity, legality and enforceability of the remaining pro�isions sha11 not in any way
be affected or impaired.
i.11. Headin�s l�Tot Controllin�. � �
Headings and titles used in this Agreement are for reference purposes only and
shall not be deemed a part of this Agreement.
712. Entiretv of A�xeemen �
This Agreement, includin� any exhibits attached hereto and any documents
incorparated herein by reference, con�ains the entire understanding and agreement
between the City and Owner, thcir assigns and successors in interest, as to the matters
contain�d herain. Any priar or contemporaneous oral or written agreement is hereby
declared nu11 and �oid to the extent in conflict with any provision ai this Agre�ment.
This Agreement shall not be amended unless executed in writing by both pat�ies and
approv�d by the CiCy Council. This Agreement may be executed im m�ltipie
counkerparts, each of which shall be considered an original, but all of which shall
constitute one instrurnent.
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EXECUTED this� day of � �� ZOa2, by the CiCy of Fort Worth,
Texas.
EXEC[JTED this .�_day of .5�� ��.._.� e� , 2D02, by Fort Worth Housing
Finance Corporation.
CITY OF FORT WORTH: F4RT WORTH HOUSII�TG FI1�TA�ICE
C�RPORATION:
B ' B �j�,
Y• Y•
J�r C. Walker
Assistant City Manager
ATT
By: .� �
�ity Secretar
APPROVED S TQ ORM AND LEGALITY:
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By:
Cynthia Garcia .
Assistant City Attorney
�"J� '! # �
M & C: - � ----�
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ATTEST:
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STATE OF TEXAS §
COiJI�TY OF TARRAllTT §
BEFORE ME, the undersigned authority, on this day personally appeared
i�ei c� f��Tv�?, Assistant City Manager of the CITY OF FORT WORTH, a municipal
corporation, known to me ta be the person and officer whose name is subscribed to the foregaing
instrument, and acknowledged to me that the same was tne act of the said CITY OF FORT
WQRTH, TEXAS, a municipal corporation, that he was duly autharized to perform the same by
appropriate Mayar and Gouncil Cornmunication of the City Council of i1�e Ciky of Fort Worth
and that he executed �he same as the act of the said City for the purposes and consideratian
therein �xpressed and in the capacity therein stated.
GIVEN UNDER
MY HAND AND SEAL OF �FF�CE this
, 2D02.
/�D.�r���.,� . ��Cc�.w.�—�
Notary Public in and for
the State of Texas
��p.so�./I �
Natary's Printed Name
� day of
�.01�,�.�� R4SELLA BARNES
� �}� NOTARY PUBLIC
����i �� State of Texas
�� Comm. Exp. 03-31-2005
.�,�-�.,.., .e.-ee�,.,, , .. �
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STATE �F TEXAS §
COUNTY OF TARRAIiTT §
BEFORE ME, t�e under�igned authority, on this day persanaIly appeared���� v,-. e�. .��� �ie�-
����-.`�-� of the Fort Worth Housing Finance Corporation, a Texas non- profit corparatian,
known to me to be the persan whose name is subscribed to the foregoing instrument, and
acknawledged ta rne that he execu�ted the same for the purposes and consideration therein
expressed, in the capacity therein stated and as Che act and c�eed af the Fort Worth Hausing.
Finance Corporation,
G VEN UNDER MY HAND AND SEAL QF OFFICE this ���� day
of .� ��•.-� � � � , 20Q2.
�.�,�..���.
Notaty Public in and for ��...�
�,.;
tI�e State of Texas ,��"��;y= �y����� w�w�Tr �
'+i :�� �iY CGIMMISSIaN EKPIH&S '_
5� J&�l��yxr, �
�Rt�Z � j
„_ ��_�
Notazy's Printed Name
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ExhibiC A. NEZ Incenkives
Exhibit B: Property Descrip�ion
Exhibit C: Praject deseription including kind, number and location of the proposed
improvements.
Exhibit D: Application: (NEZ) Incentives and Tax Abateinent
Exhibit E; Final5urvey
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�X�ll,�l % %�
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CITY OF FORi INOF2iH
NEIGHBORHOOD EMPOW€RMENT ZON� {NEZ) �ASIC lf�C�AIT1Vl�S
Adopted by fhe Fort Worth City Council on July 39, 2009 (M&C G-93208 R}
Amended by the Fort Worth City Council on April 2, 2002 (M&G G-13580j, July 23, 2002
(M&C G-93662) _
I. G�N�RA�. �UR�OS� ARlD O�J�CCif1/E5
Chapter 378 of the Texas Lacal Gavernment Code a[lows a municipality ta create a
NeigF�borhood Empowerment Zone {NEZ} when a"...municipalify determines that ihe creation
of the zone woulc! pramote:
(1 } the creation of affordable housing, including manufactured housing, in the zone;
(2) an increase in economic c�evelopmenf in the zone;
(3) an increase in �he quality of social services, education, or public safety provided to
residents of the zone; or
(4} the rehabilitation ofi affordable housing in the zone."
The Ciiy, by ac�opting tF�e following incentives, will promote affordabfe housing and
economic de�efopment in the N�Z. NEZ incenti�es wilf nat be granted after the NEZ e�ires as
defin�d in the resolution designatir�g the NEZ. For each NEZ, the City Council may approve
additional terrns and incentives as permitted �y Chapter 378 of the Texas Lacal Gavemment
Code or by C�ty Council resolution. H�wever, any ta�c abafemer�t awarded before the expiratian
of a NEZ shall carry its fuli f�rm according to its tax abatemet�t agreement a�proved by the City
Council. .
� mandated by state law, the property tax abatem�nf �nder this poiicy applies �o �he
owners of real property. f�o#hing in �h� policy shall he cons�iru�d as an obligaiion by the
Cify of Fari Worth �Eo approve any �ax abatemenf ap�alication.
II. ���IN1TIOi�S
"Abatement" means the full ar partiai exempfinn from City of Fort Worth ad valorem taxes an
eligible properties for a period of up to 10 years and an ar�ount of up to 10Q% of the increase in
appraised value {as refl�ct�d on the certified tax roll af tf�e appropriate cour�ty appraisal district)
resulting frQm impro�ements. Eligible properties must be located in the N��.
�Base Value" is the value of the property, excluding land, as determined by fhe Tarrant Caunty
Appraisal District, duTing the year rehabilitation occurs,
"Building Standards Commission"` is the commission created under Sec. 7-77, Article IV.
Minimum Buil�ing Standards Cade of the Fort Wortn Cify Code.
"Capital lnvesfinent" incl�des oniy real property improvements such as new facilities and
structures, site improvemenis, facility expansion, ar�d facilifiy modemization. Cap�#a! Investment
does N�T include land acquisition costs andlor any existing improvements, ar personal property
{suct� as machinery, equipment, andlor supplies and inventory).
"City of Forf Worih Tax A�aiemenf Policy St�tement" means the policy ado�ted by City CounciE
on February 29, 2000.
"Commercial/Indusfrial Developmenf Projeci" is a development project which praposes to
canstruct or rehabilitate commerciallindustrial faciliiies on property that is (or meets tMe
requirements to be) zoned commercial, industrial or mixed use as defined by t�e City of Fnrt
Worth Zoning Ordinance.
"Community Facflity Development Proj�ct" is a development project which proposes to cot�sfruci
or reha�ii�tate cammunity facilities on praperty that allows such use as defined 6y the Ciiy of
Fort Wor�h Zoning Ordinance.
"Eligible Rehabilitatfan" includes only physica[ impro�ements ta real property. Eligible
Rehabilitation �oes NOT incfude personai properfy {such as furniture, ap}�Iiances, equipmer�t,
andlor supplies}.
"Gross Floor Area" is measured by taking the outsfde dimensions of the building at each fl�ar
level, except #hat portion of the basament used only for ufilities or storage, and any areas withEn
the buildin� Used for off-sfreet parking.
"Minimum Building Standards Code" is Article !V of the Fo� Worth Ciiy Code adopted pursuant
�o Texas Local Go�ernment Cade, Chapters �4 and 214.
"Minority Business Enterprise (MBE)" and "Women Busrness Enterprise (WBE}" is a minority or
woman owned business ff�at has received certificafion as either a certifed MB� or certified
WBE by either the North Texas Regional Certification Agency (NTRCA) or the Texas
Department of Transpor�ation (TxDot), Highway Division.
"Mixed-Use Developmerrf Projecf" is a devefapm�nt project which pro��ses to construct or-
ref�ahiiifate mixed-use facilities in wE�ich res[dential uses constitute 2� percent or more of the
total gross floor area, ancf office, eating and entertainm�nt, and/ar refaif sales and service uses
constitute 10 percent or more of the total gross flaor area and is on property fihat is (or meets
the requirements to be) zoned rnixed-use as ,described by fhe City ot Fort Worth ZonEng
Ordinance.
"Multi-family Development Pt'oject" is a de�elopment project which proposes ta construct or
rehabilita#e multi-family residential li�ing uncts on property that is (or meets the requirements �o
�e) zaned multi-�amily or mixed use as d�fined by the City of Fort Wor�h Zor�ing Ordinance.
"Reinvestmenf Zone" is an area designated as such by fhe City af F�rt Worfh in accordar�ce
with fhe Property Redevelopment and Tax Abatemenf Act codified in Chapter 312 af the Texas
Tax Code, or an area designated as an en#erprfse zone purs�ant fo the Texas Enterprise Zone
Act, codifi�d in Chapter 2303 of the Texas Gavernment Code. '
I�I. i1�UFVICIPAI. PROP�RTY �'AX A��4��M�N fS
�. RESID�WTIAL, PROP�RiIES LOCA`1"�d IN A hiE�: �'U�� A�AT�IVi��li F'OR �
YE�RS
E
1. For residential property purchased before NEZ designa�ion, a i�omeowner shall be
eligible to app�y for a tax ahatement by meeting the following:
a. Propert� is own�r-occupied and fhe primary resid�nce of th� hom�owner prior to
the fina) NEZ designat�an. Homeowner shall pro�ide proof of ownership by a
warranty deed, affidavit of heirshi�, or a probated will, and shal� show proof of
primary residence by homestead exemptian; and
b. Homeowner must perform Eligible Rehabilitation on th� property aftar NEZ
designafion equal to or in excess of 30°/o of the Base Vaiue of t�e �roperty; and
c. Proper�y is not in a tax-delinquent status when the a�atement application is
submitted.
2. For residentia! �roperty purchased after NEZ desig�a�ion, a homeown�r shal! be
e�igible t� apply �For a tax abafement by meefing the folfowir�g:
a. Pro�erty is newly constructed or rehabilitated after the date of final NEZ
� designation; and - �
b. Property is owner-occupied and is the primary r�:sicfence ofi fF�e homeowner.
Homeowner shall �ravide proaf af ownership by a warranty deed, affidavit of
heirship, or a probated wili, and shalf shaw proof of primary residence by
i�omestead exemp�ion, and
c. For rehabilitated proper�y, Eligible Rehabilitation costs on the property sF�afl b�
�qual to ar in exeess of 30% of ti�e Base Vaiue of the properfy. The seller a.r
owner shall provide the City information to supp�rt rehabilitation costs; and
d. Property is not in a tax-delinquent status when tne abatement applicatian is
submitted; and
e. Pro��rty is� in confiormance with ��� Cify of Fort Worth Zoning 4rdinance.
3. For in�estor owned single family proper�y, ar� in�estor sha[I be e�igible to a�ply for a
tax abatement by meeting the following:
a. Property is newly construcied or rehabilitafied by the in��stor after NEZ
designation; and
b. �or reha�ilitated property, EEigible Rehabiiitation costs on t�e �raper�y shall be
equa! to ar in excess of 30% ofi the Base Value of the property; and
c. Praperty is rtot in a tax-delinquent status when the abatement applicafiion is
subrrtitted; and
d. Property is in conformance with the Cifiy of Fort Worth Zoning Qrdinance.
�. iVCU��1q�R[VII�Y ��VELOPM�IV f PROJ�C'iS ��CAT'�� I�' A WI�Z
1. Fufl Abatement for 5 years.
In order #o be eligible fior a property fax a}�at�ment, upon comp[etion, a newly
constructed or rehabi�itated multi-family de�el�pment project in a NEZ must satis�Fy
the faflowing:
At feast twenty percent (2�%} of the tofal �nits constr�cted ar rehabilitated sha![
be affardable (as defir�ed by the U. S. De�artmenf of Ho�sing and Urban
Developmen#j to p�rsons wifh ir�comes at or below eighty percent (80%) of area
median income based on famify size and such �rnits shall be set aside for
persans at or below 8a% of the median income as defined by the U.S.
Departmenf of Hausing and Urban Deveiopment. Ci�Ey Counc�i may waive or
r�duce the 20% affardabilify re��iremenf on a case-by-case basis; and
(a} For a multf-family developmertt prajeet ct�nstructed after NEZ designatian, the
prolect musi provide af least fi�e (5} residential living units OR have a
minimum Capital Investment of $200,�00; or
{b} For a reF�abilitation project, the praperiy must be rehabilitated after NEZ
designa�ron. Elig�ble Rehabilitation costs on the praperty shall �ae at least
30% of the Base Value af the proper�y. Such Eligib�e Rehabilitation costs
must come trom the rehabilitation of at least five (5) residential living units or
a minim�am Capital investrr�ent of $200,QOQ.
2. �%-10fl% Abatement of City Ac� Valorem taxes Up to 10 years
If an applicant appGes for a tax abatement agreement with a term of more ihar� five
years, tnis sectian shall apPly.
Abatements for multi-family development projects for up to 10 years are s�bject ta
City Council appro�al. The applicant may appfy with the Housing Department for
such abaternent.
Years 1 fihrouqh � o�th� �ax Abaicement �qreement
Mulfi-family prajects-shall be eligibEe for 100% abatem�nt of City ad valorem taxes
for years one through fi�e of �he Tax Abatement Agreemeht upon the satisfaction of
the follawing:
At feast twenty perc�nt (2Q%) of the total units construe#ed ar rehabilitated shal[ be
af�orc#able (as defined by tF�e U. S. D�par�ment af Housing and Urban Development)
to p�rsons with incomes at ar befow eigh#y percent (8Q%) of area median income
based on family size and such units shall be set aside for �ersons at or belo�w 80% af
the median incame as defin�d by fhe U.S. Department ofi Housing and Urban
Development. City Cou�cil may waive or reduce t�re 20% affordabili#y requirement
on a case-by-case basis; and
a. For a mufti-fami�y development project constructed after NEZ designation, th�
project must pro�ide at least five (5) residential fivir�g units OR ha�e a minim�m
Capital ]nvestment of $200,000; or
b. For a rehabiiitation project, t�e property must be rehabilitat�d after NEZ
designatian. Eligible Rehabilitation costs an the property shafl be at least 30% af
the Base _Value af. the property. Such Eligible Rehabilitafion costs must coma
frorn the rehabiii#ation ofi at �east five (5) residential living units or a minimum
Capital lnvestment o# $200,OD0,
Years 6 throuph 10 a�' �he iax Abatemeni Aqreement
Multi-tamily projects shal� be eligibie for a 1-100% abatement of City ad valarem
taxes for years six througF� ten of the Tax Abatement Agreement upon the
satisfactio� of the follawing:
a. At least twenty perc�nt (20%) of the tata� units constructed or rehabiliiatecE shall
be affardable (as defined by the U. S. Departm�nt af Housing and Urban
Developm�nt) to persor�s with incomes at or below eighty percent (80%) of ar�a
�
median ihcome bas�d on family size and sucF� units shall be sef aside for
persans af or below 80% of the median income as defined by t�� U.S.
Depar�ment af Housing and Urban Developmenf. City Counci� may waive ar
reduce the 20% affordability requirement an a case-by-case basis; and
'!. For a multi-family de�elopmenfi project constructed after NEZ designation, the
projecf must provid� at least five {5) r�sidential li�ing unifs OR have a
minimum Capital Ihves�ment of $200,Q40; or
2. Far a rei�abili#atior� praject, th� properiy must be rehabilitated afier N�Z
designation_ Eligible Rehabiiita#ion cosfs on the property shalf be at feast
30% af the Base Vaiue of the property. Such Eligible Rehabilitatian costs
must come from the reha�ilifation of �t {east five {5) residential li�ing units or
a mir�imum Capital Investment of $200,040.
b. Any other terms as Gity Cflunci[ of the City of Fort Wo�ti� deems ap�aropriate,
including, but not limited to:
9. utilizati�n of Fort Worth companies for an agreed upon percentage of the fota[
costs for construct'ron cantrac�s;
2. utilizatian ofi certified minar�iy and women owned business enterprises for an
agreed �pon percentage of the fotal costs for construction contracts;
3. praperty inspec#ion;
4. commit to hire an agreed upon percen#age of Fort Warth residents
5. commit to• hire an agreed upon percEntage of Central City residents
6. landscaping; .
7. tenant selection plans; and
8. management plans.
C. COIVf�VI�R�l�., fNpUST�IAL ANC� COMI�l1tdITY �'ACILfYE�S ��V�LO�M�Ni
PROJ�CTS �OCAi�D iiV ,4 N�
1. Fufl Abatemant far 5 years.
In order to be eligible for a property tax abatement, a newly cortstructed or
rehabilitated commerciallin�ustrial and community facilities de�elopment praject in a
NEZ must satisfy the follawing:
a. A commercial, industriaf or a community facilities developmenf project
consfructed affer NEZ designation musf have a minimum Ca�ital Investment of
$75,000; or
b. For a rehabilitatiort project, ifi must be rehabiliiated afier NEZ d�signation. E[igible
ReF�abilitaiion cosfs on the praperty shall b� at least 30% of the Base Value of
the pro�erty, or $75,000, whichever is greater. .
2. 1%-100% Abatement of City Ad Valorem taxes up fo 10 years
If an applicant applies for a tax abateme�t agreement with a term of more than �ve
years, this section shall apply.
Abafiement agreements far a Commercial, Indusfria! ancf Community Facilities
De�elopment pro�ects for up ia 10 years are subject fo City Council approval. The
5
applicant may apply with the �canomic and Cammunity Development Department �ar
such abatement.
Years 1 throua� � of the 7ax Abatemen� Aareemen�
Comrn�rcial, Incfustrial and Community Facilities Development �rojects shall be
e�igible for '!00% abatement of City ad valorem faxes for tne fi�st fi�e years of the
Tax Abatement Agreement upon tt�e satisfaction af the following: ,
a. A commercial, industriai or a community facilities de�elopment project
constructed after NEZ designation must have a minimum Capitaf fnvestment of
$75,000; or
b. For a rehabiii�aiion prajec#, it must �e rehabilitated after NEZ designation. ElFgibls
RehabiEitation casts on the prop�rty shall be at least 3fl% of the Base Value af
the praperty, or $75,000, whicf�ever is greater.
Y�ars 6 fhrouqh 90 af the iax l�bat�rnen� �areement
Cammercial, lndustriai and Community Facilities �e�e[opment projects shall be
eligible for 1%-100°fo abatem�nt af City ad �alorem taxes for years six ihraug}� ten of
the Tax Abatement Agreemertt �pon the satisfacfior� ofi fihe fvilowing:
a. A commercial, indusfrial or a commurrity facilities deve�opment projec�
canstructe� after NEZ designatio� must i�ave a minimum Capital Investment of
$75,000 and must meet the requirements of subsection (c) belQw ; or
b. For a rehabilitation prflject, it must �e rehahilitafed after NEZ designa#ion. Eligibie
Rehabilitation costs on the property shal! be at least 30% of the Base Value of
fhe p�operty, or $75,000, whichever is greater and meet the require�ents of
subsection (c) belaw. � �
c. Any other terms as City Councif af the City of Fort Worth deems apprapriate,
i�cluding, but nat limited to:
1. utilization of �ort Wor�h companies for an agreed upon percentage of the #ofal
cos#s for construction cantracfs:
2. uti�ization af certi�ed minority and rn�omen owned business ent�rprises for an
agreed upon percentage of the total casts for construction confracts; �
3. commit to hire an agreed upon percentage of Fort Warkh residents;
4. commii to hir� an agreed upon percentage of Central City residents; and
5. landscaping.
D. MI��9-�US� ��V��OPM�iVT ��iQJ�CTS LQ��iED If� A RlE�
1. Full Abafern�nt fior 5 years.
In order to be efi�ible for a property tax abatemenf, upon compfetian, a newly
canstruc#ed or rehabifitated mixed-use development project in a NEZ must satisfy the
follow�ng: �
a. Residential uses in the project canstitute 2D percenf ar more of the total G�oss
Floor Area of th� pro��ct; and
b. Office, eating and entertainment, and/or retail safes and service uses in the
praject consfitute 10 percent o� more of the fofal Gross Floar Area of the prajeci;
and
[:
(1) A mixed-use development project eor�structed after NEZ desEgnation m�tst
have a minimum Capital Investment of $200,000; or
{2) For a rehabifitation praject, it must be rehabifitated_ afiter NEZ designation.
Eligible Rehabilitation casts on 'the property shall be .at least 30% of the Base
Value af the property, or $200,OD0, whic�ever is greater.
2. 1%-100% Abatement of City Ad Valorem taxes up to 10 years
If an applicant applies for a iax abatement agreement with a term of more than �ve
years, this section shall apply.
Abatements agreaments far a Mixed Use Development projects for u� to 10 yea�-s
are sUbject to Ciiy Counci� a}�proval. T�e applicant may apply with the Economic and
Community Development Department for such abatement.
Years 1 throuah � of the �ax Aba�emenf Aareement
Mixed Use Development p�ojects shaA be eligible for 100% abatement of City ad
valorem faxes for the first five years o� the Tax Abatement Agreement upfln the
satisfactinn of the fallowing:
a. Residential uses in the praj�ct canstitute 20 percent ar more of the total Grass
Floar Area of fhe project; and
b. Office, eating and enterfiainment, andlor retail safes and 52NIC� uses in the
projec� canstitute 10 percent or mare of the tota� Gross Floor Area of the project;
and�
c. A new mixed-use development project constructed after NEZ designatiQn must
have a minimum Capital Investirmenf of $200,000; ar far a rei�abilitation project, it
must be rehabilitated after NEZ designation. Eligibie Rehabiiitaiion cosfs on the
property shaEl be at least 30% o# the Base Value of fhe praper�y, ar $200,000,
whichever is greater.
Y�ars 6 thro�qh 1� of the ia�c Abatemen# �qreemenfi
Mixed Use Deve}flpment projects shall be e�igible fior �-100% abafement of City ad
valorem taxes for years six fhrough ten of the Tax Abatement AgrEement upor� ff�e
sat�sfactian of the following:
a. Residential uses ir� the projeci constitute 2a percent or mor� of t�►� total Gross
Flaar Area of the project; and
b. OfFice, eating and entertainmer�t, andlor retail sai�s and service uses in the
prflject constitufe 10 percent or more of ihe totaf Gross Floor Area of the pro�ect;
c. A new mixed-use development praject constructed after NEZ �esignation m�st
ha�e a minimum Capital Investmenf of $200,000; or for a rehabi�itation project, it
must be rehabilitatecE after N�Z designation. �figi�le Rehabilifation costs on the
praperty sf�all be at least 30% of the Base Value af the praperty, or $2QO,Q00,
whichever is greater; an�
d. Any ather ferms as City Council of the Gity of Fort Worth deems apprapr�ate,
including, but not limited �o;
1. utilization o� �ort Wo�tF� companies for an agreed upon percenfage of ihe
tatal costs for construction confracts;
7
2. utilization af certified minori#y and women owned �usiness enterprises for
an agreed upon percenfage of #he total costs for eonstruciion contracts;
3. property inspection;
4. commif to hire an agreed upon percentage of Fort Worth residents
5. commit to hire an agreed upon percentage of Central City resid�nts
8. landscaping;
7. tenanf seleciion p[ans; and
8. management plans.
�. A�AT��IENi GUI�}�I�lN�S
1. If a NEZ fs Iocated in a Tax Increment Financing District, City C�uncil will determine
on a case-by-case basis if the tax abatemenf ir�centiv�s in Sectian !II will be offered
to eligible projects. Eligi�fe projects must meef all el�gibility requirements specified in
Sectian I11. �
2. ]n order to be eligible to apply for a tax abafemenf, the property own�rlde�eloper
must:
a. Not be delir�quent in paying property taxes for any properky owned by the
owner/developer ; anrf
b. Not have any City of F'ort Warth liens iifed against any praperly owned by fhe
applicant property ownerldevefoper. "l,iens" include, but are nat limited to, weed'
liens, demolifion liens, baard-uplope� structure �iens and paving �iens.
3. Properties under a contract for deed are not e�igible for tax abatemenf.
4. Once a NEZ praperty owner of a residenfial property (including rnulti-family) in the
NEZ safisfies the criteria sat for�h in 5ections I11.A, E.9. and E.2. and applies for an
abatement, a property owner must �nter into a tax abatemen# agreement wi�h the
City of Far� Worth. The tax abatement agreement shalf autornafically terminate if the
property sub�ect ta the tax a�atement agreement is in vEalation �f the City of �ort
Worth's Minimtam Building Standards Code and th� owner is convicted of such
vialation.
5. A tax abatement grartted t�nder the criieria set forth in Section 111. can only be
granted once far a�roperty in a NEZ for a maximum term of as specified in the
agreement. [f a property on which tax is being abated is s�ld, the City will assign the
tax abatement agreement for the remaining term once the new owner submits an
application.
6. A prope�ty ownsrld���loper of a multifamily development, commercial, indusfrial,
comm�nity faci[ities and mixe�-use developmenf project in the NEZ who d�sires a
tax abatemenf under Sections I�l.B, C or D m�st;
a. 5a#isfy the crit�ria set fc��th in Sections III.B, C or ❑, as appficable, and Sections
I�I.E.'I E,2; and E3. and
b. File an application with the Housing Department or th� Economic and
Community Developmer�t Depar�ment, as applicable; and
0
c. The praperty owner must ente� inta a tax abatement agreement with the City of
For� War�h. fn addition ta the other terms of agreement, fhe tax abat�ment
agreement shal� provide fhaf tF�e agreement sha[� automatically ferminate if the
owner receives one canviction of a violatio� of the City of Fo� Worth's Minimum
Buifdir�g Standards Cod� regarding the property subjecf to fhe abatement
agreement during fhe term of the fax abatement agreement; and
d. ff a property in the NEZ on which tax is be�ng abated is sald, #he new owner
may enfer into a tax abatemenf agreement on the property far the remaining
term.
�. �►��P��c�rio�v ���
The application fee for residential #ax abatements governed under Section III.A is
$25.
2. TY�e application fee for mufti-�amily, cammerciaf, in��rstrial, corrimunity facilities and
mixed-use development projects governed under Sections IiI.B, C.1 and D.1, is on�-
half of ane percent (0.5%) of the �roposed project's Capital fnvestmeni, nat ta
exceed $1,OOfl. The application fee will be refunded upon issuance of certificate of
�nal occupancy and once the property owner enfers into a tax abatement agreement
with the City. Otherwise, the App[icatit�n Fes shal! not be credited or ref.unded ta any
party for any reason.
IV. ��� l�1�AIVERS
A. �L�G[�l.i� R�CI�IEPlYSIPRQP�RTI�S
'! . In ord�r to be eligi�Ie to apply for fee wai�ers, the property awnerldeveEaper mtast
a Not be definc�uenf in paying �roperty iaxes for any property awned by tF�e
ownerldeveloper or appficant; and
b. Not have any City liens filed against any property owned by the app�icant proper�y
awnerldeveloper, including but nat limited ta, weed liens, cfemolifion fiens, board-
uplopen struct�are liens and paving lie�s.
2. Pro�erties �nder a contract far deed are noi eligible for development fee wai�ers.
3. In order for Development Fees andlar lmpact Fees to be waived for new construcfion
or rehabifitatian proj�cts locafied in the NEZ, a property owner must subrnit an
applicafian to the City.
Aaaroval o� the apalicafion and waiver of �h� fees shall' not 6e deemed to b�
approval of anv aspect of �he nroiect, Before construcfiion. the annlicar�i musi
ensure that the proiect is foca�ed in �he correcf �onin�r districi.
�. �7�VE�.O�fVi�Ni ���S
Once ff�e Application far NEZ Ir�centives has been approved by the City, fF�e foflowing
fees �or services performed by the City of Fori Warth for prajects in fhe N�Z are waived
for n�w construction -projects or rehabilitation projee#s fhat exper�d at least 30% of the
Base Value of the property on Eligible Rehabilitation costs:
1. All buiiding permit related fees {including Plans Review and Inspections)
2. Plat application fee {including concept plan, �reliminary plat, finaf pfat, short form
replat)
3. Board of Adjustment application fee
4. Demalifian fee
5. StrUcture Tnaving fee
6. Community Facil�ties Agreement (CFA) applicafion fee
7. Zonir�g application fiee
8. Street and utility easem�nt vacation application fee
Other develo�ment relafed fees not specified above will be considered far approval by
Ciiy Council on a case-by-ease basis.
C. IMPACi �E�
1. Single famiiy and mu[ti-family residential development projeefs in the NEZ.
A�toma#ic 100% waiver of water and wasiewater impaef fees wil! be appfied.
2. Commerciai, in�ustrial, mixed-use, or community facility deveiopment projects in the
N EZ.
a. Automatic � 00% waiver of wafer and wastewater impacfi fees up to $�5,000 or
equivalent ta two 8-inch mefers for each commercial, industria�, mixed-use or
communi#y facifiiy development project.
b. !f the project rec�uesis an impact fee waiver exceeding $5�,000 or requesting �
waiver for larger andlor mare than two 6-inch meter, then Ciiy Cauncil ap�roval is
required. Applicant may request the additional amau�t of impact fee wai�er
through the H�using Department.
V. R�L�,�S� O� GI�1( LIEIVS
The following City liens may be released for eligible properties or projects in a NEZ:
A. W�ED I�iFNS
T�e fallowing are eligible ta apply for release of we�d liens:
1. Singfe unit owners perfarming rehabilitafion or� iheir properties.
2. Builders or devslopers constructing new homes on vacant fots.
3. 4wners perfarming rehabi�itation on mulfi-family, commercial, industrial, mixed-use,
or community facility praperties. � �
4. Developers cr�nstruc#ing new multi-family, commercial, industrial, mixed-use or
community fiacility devel�pment projecis.
�. 9��lIOLI�lON L1�RlS
10
Builders or devefopers develaping or re�a�ilitating a�raperty are eligible fa apply for
release of demofi#ion liens for �p to $30,000. Release of d�molition fiens in excess of
$30,000 is subject ta City Council appraval.
C. �OARD�UPIOPER� SiRUC7URE L1ENS
Tl�� following are eligible ta apply tor release of board-uplopen structure liens:
1. Single unit awners perFarming rehabilitatton on ti�eir properties.
2. � Buiiders or de�elopers constructing new single fiamily homes on �acant lots.
3. Owners perfarming rehabilitatian an multi-family, comm�rcial, ind�strial, mixe�-use,
or community faciiity proper�ies.
A�. Devefopers constructing multi-family, commercial, industrial, mixed-�se, or
c�mrnunity faciliiy projects.
D. �AV1NCy LI�f�S
The following are e[igible #o appiy for release af paving liens:
1. Single unit owners performing rehabilitation on their proparties_
2. Builders or de�elapers canstructing new homes on vacant �ots.
3. , �wners performing rehabilitation on mulfi-family, commarcial, industrial, mixed-use,
or community facility properfies.
4. � Develop�rs COf15tiC�CtlCig multi-family, commerciaf, industrial, mixed-uss, or
commur�ity facilFiy projects.
�. ��IC���� R�CfPI�MTSIPROPERTI�S
1. Ir� order to be e�igibie ta apply for reiease of City lier�s, ihe praperty ownerldevefoper:
a. must not be delinquent ir� paying properfiy taxes for any property owned by
the owner/de�eioper �
, b. must nat have been subject to a Building Standards Commission's Order of
Demalifian where the property was demolished within t�e last fi�e {5} years; and
c. must r�ot hav� any City of Fari Worth liens filed againsf any ather property owned
by the applicant proper�y ownerldeveloper. "Liens" includes, but is not fimifed to,
weed liens, demolitian liens, board-uplopen struct�re liens and paving liens.
2. Properties under a confract tor cleed are not eligible for release af City liens.
VI. PROC�DURAL Si��S
A. I�Pi�l��T[OW SU�MIISSIORI
1. The applicant for NEZ incentives under Sections III.A, B, C. D., IV, and V must
complete and submit a City of Fort Worth "Application �or NEZ Inc�nfives" and pay
the appropriate application fee to the Housing Department or the Economic a�d
Community De�efopmen# Depar�ment, as applicable.
11
2. The applicanf far incen#ives und�r Sections 1[E.C.2 and D.2 must also campiete and
su�mit a City of Fort Worth "Application for Tax Abatement" and pay the ap�ropriate
application fee to the �conomic and Community Develo�ment Department. The
appiication fee, review, evaluation and appro�al wifl be governed by City ofi Fort
Worth Tax Abatement Policy Statemenf for Qualifying De�el�pment Projects.
�. CFRTaI�1CA71C}NS FOR AP��lCAiIO�IS Uf�D�R S�CiIONS Elf.�a, B, C.9, D.1, 11l,
AfV � V
1. The Housing Department will review the applicatian for accuracy and
eompleteness. Once cornplefe, Housing Department will certi�y eligibilify of the
applicaiion based on t�e criteria set forth in Section lif. A, B, C.1, D.1, IV, and V af
this po�icy, as applicable. Once an applieation is certified, the Hausing �epartm�nt
will ir�form appropriaie depar�men�s administering the incentives about the �ertifed
application. An orientafion meeting with City cfepartments and the applicant may be
scheduled. The departmenis include:
a. Housing Department: property tax abaiement fiar residentia! properties and multi-
family develapment projects, release of City fiens.
b. Economic and Gommunity De�elopment Deparfinent: p�operly tax abaiernent for
cammercial,
industrial, comm�nity fiaci[ities or mixed-use development projects.
c. Development Departmen#: develnpment fee waivers.
d. Water Department: impact fee waivers.
e. Qt�er appropriate deparkments, if ap�licabf�.
2. Once Developmer�f Department, Water Deparkment, Economic and CommunEty
Development Department, and/or ath�r ap}�rapriate department reGeive a c��ified
ap{�lication fram the Housing Depar�ment, . each tiepar�mentloffice si�all filf out a
"Ve�ification of NEZ I�centives for Certified NEZ l�centives Applica#ion" and return it
to the Housing Department for record keeping and tracicing.
C. APPLICATIOh! R�V�EW AND EVALUA�10�1 �OR AP��lCAi'I�f�S
1. Property Tax Abatement far Residential Properties and Mul�i-�'amily Development
Projects �
a. For a completed and certified application for r�o more than five years of tax
a�atement, with Council approval, the City Manager shal[ execute a tax
abatement agre�menf wiih the applicant.
b.. For a completed and cer#ified mulfii-family deveEopment project application for
more fihan five years af tax abatement:
(1) The Housing Departmenf will evaluate a completed and ce�ified application
based on:
(a) The praject's increas� in tYte �alue of the tax base.
(b) Costs to the City (st�ch as infrastructure participatio�, etc.}.
(c) Percent af construcfion contracts committed to:
{i} Fort War�� based firms, and
(ii) Minority and Vllomen Own�d Business Enterprises {MIWBEs}.
(d) Other itsms whicF� may be negotiated by fihe City and the app�icanf.
12
{2) Cansideratian by Council Committ�e.
Based �tpor� the outcome of the e�aluation, Housing Department may present
the app[ication to the City Cauncil`s Economic Develapment Commiftee.
Shauld the Housing Departmsnt pres�nt the application ta the Economic
Development Committee, the Committee will eonsider the application at an
o�en meefing. The Committee may:
(a) Approve the application. Staff will then incorporate the application into a
tax abatemenf agreemant which will be sent to the City Cauncil with fF�e
Committee's recammendation to appro�e the agreement; or
{b) Request madifications ta tkie application. Housing Department siaff will
discuss the suggested modifications with the applicant and then, if the
requested modifications are made, resubmif the modif9ed applicatian to
the Committe� for conside�ation; or
(c) Deny the application. The applicant may a�peal the Committee's finding
by raquesting the City Gouncil to: (a) disregard the Committee's finding
and (b). instruct city staff to incorporat� #he applicafion inio a iax
abatement agreement for fut�re consideration by the City Cauncil.
(3} Consideratior� by the Gity Cauncil
The City Cauncil refains sole autl�oriiy to appro�e ar deny any tax abatem��t
agreement ant� is under no ob[igation to a�prove any tax abatement
application or tax abatement agreement. TF�e City of Fort Worth is under no
abligafion to pro�ide tax abatement in any amount or value to any applicant.
c. Effectiv� �ate for Approv�d Agreements
Al� tax abatements appro�e� by the City Council wiil became effecii�e an
January 1 of t�e year follawing the year in which a Certificate of Occupancy (CO)
is issued for the qualifying development prnject (unless otherwise specified in the
tax abatement agreement). Unless otl�erwise specified in the agreement, taxes
fevied during the construction af the project shall be d�e and payable.
2. Property Tax A�atement for Cammercial, Industriai, Community Facilities, and
Mixed-Use De�elapment Projects
a. �or a completed and certified application far r�o more than five years of tax
abatement, with Council appraval, the City Manager shall exect�te a tax
abatement agreement with the applicant.
b. For a complefed and ceriitied app�icatio� #or more than fve years of tax
abaternent:
{1) Th� Economic and Community De�elopment Department wil[ evaluate a
complefed and car�ified application based on: �
(a) The project's increase in the value af the tax base,
(�} Cosis to the City (such as infrastructure participatian, �tc.).
(c) Perc�nt of constr�ction contracts commifted to:
(i) Fort Worth based firms, and
{ii) Minority and Women owned Business Er�terprises (M1WBEs).
{d) �ther items wF�ich may be nego�iated by the Ciiy and the appiicant.
13
(2) Consideration by Council Committee �
Based upon the outcome of the evaluation, the Economic and Community
Devel�pment Departme�f may present the appiication to the City CounciPs
Economic Development Commi�tee. Should fihe Economic and Cammunify
Developm�nt D�partment present the app�ication fo the Econamic
Development Committee, the Committee will cansider the applicatian at an
op�� meeting. The Committee may:
(a) Approve the applieation. StafF will then incorporate the application inta a
tax abatement agreement which will be sent to the City Councif wit� the
Cammitte�'s rec�mmendation to appro�e the agreement; or
(b) Request madifications to tf�e app[icafion. Economic and Community
Development Departmer�t staff will discuss #I�e suggested modifications
wifh the applicant anc� then, if the request�d modificafians are made,
resubmit the modi�et� application to the Committee for considerafifln; or
(c} Deny the appEication. The appiicant may appeal the Committes's finding
by requesting t�� City Council to: (a) disregard the Cammittee's finding
and (b) instruct city staff to incorporate #he applica#ion info a tax
abatement agreement for future considerafiion by the City Counci[.
(3) Considera#ion by the Cify Councif
The City Council retains sole authorify to appra�e ar deny any tax abaiement
agreement and is �nder no � obligation to approve any tax abatement
applicatian or tax abatement agreement. The Cify of Fort Workh is under no
obligation to pro�ide tax abat�ment in any amount or value fo any applicant.
c. E�fective Date for Appro�ed Agreements
A�f tax abatements approvet� by the City Cauncil will becorrte ef�eciive o�
January 1 of the year fol[aw�ng the year in wt�ich a Certificate af Occu�ancy (CO)
is issued for the qualifying development project (unless otherwise specified in tF�e
tax abaiement agreement}, Unless atherwise specified in the agreement, taxes
levied during tF�e consirucfion of the project shall be due and payable.
3. Development Fee Waivers
a. For certified applications of development fee waivers that do not require Council
approval, the Development Department will review the certified ap�licanf's
ap�lication and grant appro�riate �ncentives.
b. �or cer�if3ed applicatiorts of de�elopment fee wai�ers that require Councif
appro�al, Ci#y staff will review the certified applicant's application and make
appropriate recomm�ndatia�s ta th� City Council.
4. Impact Fee Waiver
a. Far c�r�ified applications af impact fee waivers that do not require Council
approval, the Water Deparfinent will review the certified applicant's application
and grant appropriate incentives.
14
b. For certifiied applications flf impact fee waivers that req�ire Cauncil approval, the
Water Department will re�iew the certi#ied applicant's application and mafce
appropr�ate recomme�datio�s ta th� City Cauncil.
5. Re{eas� of City Liens
For c�rtified applications ofi release of City liens, fihe Hausing Department will release
the appropriat� liens.
1l1L OTHER RU�.�S P�RTAINfNG TO PROP�RTY i�JC A�A,i�fVll�idT
�. F��C,4PiUl�E
[f the terms of tf�e tax abatement agreement are nv# met, the City Council �as the right to
cancel flr amend the abatement agreement. fn th� event of cancellation, the recapture of
abated taxes �hall be limited to the year(s) in which the defaul# occurred or confinuad.
�. IP�SP�CiiOIV API� �IN�NCIA� V�RIFICATION ��R flllU�il-FAIVII�Y, COiHiVIFRCIALI
I�IDIlSiRIAI�, COMMUNITY �'ACf�ITI]�S Af�D iVIfXFDtlUSE �E1I�LOPIVI�N�
P�OJ�CiS
The terms of the agreement shal[ include the Cify of Fort W�rth's right fo: {'I} review and
verify the a�plicant's financial statements in each year during the lif� of the agreement
prior to granting a tax abatement in any giv�n year, (2} conduct an on site inspeciion of
the p�'oject in_ each year during the life of the abatement to verify compliance with the
terms of the tax abatement agreement.
C. �VAI�U,d►TIOh! FOR MULiI-FANiI�Y, C�MM�RC[A�1 IfVDU5iRIA�, COMNiUNI�'Y
FACiLIYI�S A{�p MIXED�USE DEll�L�PMEf�T pROJEC`f�S
Upon. campletion of canstruction of the facilities, the City shall no less #han ar�nually
evaluate each praject receiving abatement to insure compliance with the terms of the
agreemeni. Any inc9dents ofi nan-compfianc� wilf be reported ta t�e City Council.
On or before �ebruary 'ist of e�ery year during the [ife of �he agreemen4, any
fndi�idual or en�ity receiving a tax aba�ement �rom the Ciiy of �ort Vilorth shall
provide informa�ion and documenia#iort which de#ails ihe property owner's
compliance with the �erms of the respectirre agreemenf and shalf certify tha� fhe
own�r is iR cvmpliance wi�h each applicable ferm of the agreement. �ailure fio
report this informatior� ar�d to provide fihe required certifica#ion by �he above
deadline shall reSult in cancellation ofi agreement and any taxes abatet[ in fihe
prior year being due and payable.
D. �F��CT O� SAL�, ASSiCIVIUI�N� OR ��oS� 8� PI��P�F�TY
If a property in the NEZ on whic� tax is being abafed is soid, fhe new owner may enter
into a tax abatement agreement an the pro�erty for the remaining ferm. Any sale,
assignment or lease. of the property which is not perrnitted in the tax abatement
agreement results in cancellation of the agreement and recapture af any taxes abated
after the date on wl�ich an unspecified assignment occurred.
15
VII�. O`�FiER IIdC�NT1V�S
A. Plan reviews af proposed develapment projects in the N�Z wil� be expedited by tF�e
Development Departmenf.
�. Tl�e City Council may add ihe following incentives fo a NEZ in the Resalution adopting
the NEZ:
1. Municipal sales tax refund
2. Hamebuyers assistance
3. Gap financing
4. Land assembly
5. Conveyanee af tax foreclosu�e properties
8. Infrasfrucfure improvements
7. Suppor� for Low Incame Housing Tax Credit {LIHTCj applications �
8. Land use incentives and zoninglbuilding code exemptians, e.g., mixed-use, density
bonus, parking exemption
9. Tax Increment F�nancing (TIF)
10. PUb�ic Impro�ement District (PID)
11. Tax-exempt bond financing
12, New Model Bfocks
�3. Loan guarant��s
14. �quity investmeRts
15. Other incentives that will efFectuafe the intent and purposes of N�Z.
1B
Exhibit B
3i 12 Eastcrest Court Lot 7, B�ack 1 Eastcrest Addition
Exhibit C
Project Description
Single �amily R�sidence
90% Bric�c Veneer
1500�19D0 square feet
3 Bedrooms/2 �aths
Two car garages
Arched Windows at Front of House
Frant Yard Landscaped
Microwave with built-in Vent-A-Hood
Wood Burning Fire Place
Built-in 5ecurity System �
Computer Area with CPU & Printer with a de.dicated .telephor�e line
Vaulted Ce�ling in Master Bedraom and Li�ing Room
French Doors
Separate TublShower in Master Bathraom
Garden Tub in Mater Ba#hroom
,�
� ���.�.�w� �
FQRT�ORTH � �
Applicatian No. �� � � � �1 /
czz� oF FORT woRT�r
� r�zc��a�oon E�eo��rrT zorr� {zvEz3 P�o���r
PROJECT CERTYFICATION A.�'PLSCATION
FORM B F(?R II`�'YESTOR UWNERS (SINGLE F1iMlI,�' ONLY}
I. APPL�CATTOP�1 CHECI� LIST
,Pleas� snbmit the. fallowing documentation witb each prop�rty reques-�ed:
� A coxnpleted`�.pp�ica�io��fb��n �''- �'�s������ � �
'_� w,'[]_: ,: A list of-a.11:.�rQpertie�, ow�ed,by the appliearif im Fart Wori�
'�� � • � a - �- . .
(� AppZicaiion fea of $2�:�0 (for tax ahatemient applicat�ons�anIy) -
❑ Proaf of ovsmership, such as a'vvarra�ty deed, a�fidavit af heirship, or a pxobatec� wi�I QR
evidence o£ si#e°co�ztro�, su.eh� as opt�on to b�y - � ��
❑ � Title abs�ract�of tiie� praperty (op�io.aal)- � = ` ' ' `
For Rehabi�itation Pr'oie�ts On�lv: � �
`❑ �'or a prajeci in the plaxming stage, p�ease submit a comnleted set of Re�aa�ilitation '
.� •�'F�emodel� Plan and a list of eli�zble rehab�litatiori;�osts'�: (€or applications o� ia� •-
, aba�ements and deveIopnc�ent fee waivers �or re�ab prr�jects only)
❑ Onc�e a project is completsd, please sni�mit proof o�'athe eligzble rehabilitation co�ts* such
as invoices, contracts, or �re�eipts. (for applicaf�ans of tu abatements a�niy) �
.�} . �
* Eligible rehabilitation iizcludes only physical unprovemen#s io zeal proper#y I# does IVO� inblude personal
praperty such as furflitura, appliances, equipment, and/or supplies. �"otal elzgible xehabilitation costs shall equal
ta or exeeed 30°fo a£ the Tarrant County Appraisal District (TAD}, appxa�sed valne of th$ strucl:ure during the
� year rahab�itat�ou occnrs. . '
�� II. — ApPlicant / AG�NT Il'���?RMATT�N ' � w� — - — —� —• — � — — -
1. Ap�alicxnt; � � 2. Contact Person:
. �� ����+� --'� �I �" ��.l7���U . < . .�r�ll9.�d.� G�6'�
3. � Address:
�. Phoue no.:
S. �ma.zl:
�. Agen� (if anY)
S: Adciress:
9�. Phane no.:
l�. Emai�:
�Dllf� `7��r� ���it3 ��"' �g� r1��`N. T'� ����� _
Sfreet ^`� Ci� � - , Sfate , 7ap .
�l � � �7���}7� �. Fax 1"�'0.: �JT ��l'� ��''- - , .
C���� �%� ��• �-3i�dP�''�, i'"aC. Ll S . .
Stree� - . = - -City - State � Zip
� ,.,
. � ' . 10. Fa� No.: �
.�:�f you nee� fuz-�her informafion or c�ari#"xca�ia�t, piease cantact Chu�z-T Lu at (817) 871-738I or �-
Bea Cura at (81'7) 871-8036. . -
�
1
a
�
F��RT'�ORTH
III PROPERTY ELIGI�II,ITY
].. PXease list down the addresses and �ega.i d�scriptions af ihe property where yau az-e applying
for 1'�TEZ incentives and oth.er prapsriies yon avvn in For# Wartli. Attach metes and ba�nds
desc.�iption if no address or legal description is avaiiahle.
'� ,
Table 1 PrQperty� Owne�Csl�ip
� Address
�Project Locahon)
� -
- I -
��I - -
Zzp � Legal Description f
COd� _� Subdivisicfn Lot Na Block No. �
� -_ - — - �
��� . �� � � . i : ,� - I
, _ . �.a�.�������� ��:� � .r �� �
__ _ � �� . . +
- — - - -- . !
1 . . - - = — - _ -. --I I
I . I
I
I _ - - -1 � ,--- — - - - � -�
(Please attach addiiionat sheets of paper as needed.) ' � �
� � 2. Far �e�ch properiies listied f� Table��;�please check the b�xes beiow to indi�a�te-�f:
� there are iaxes due; or Jt� � .
� there are Cii.y Iiens; or �� � .
� you hava been subj�eet to a Builciing Staxzdarcls Cornmi�sion's C�rder of I�eznoli�ion where the
property was demolish.�d wi�izi, the last five years. jE,j � �
� Table 2 Properiy Taxes and Ci� Liens
- � , Address Property - - - �ity Liens an Praperty -
. -� -_.. A• � :�-�� :�: , � Ta�es ,•-z�;�ed � Boafrd-up/Open �..Demolition�� �aving -- Or.dernf�.
e i.�k-. ..��� `.. .r. .;Y�.. — l .
-� :_ `�Due � _ •� � � L'zens _ St�cture Lfens _ � T„iens �� :� Liens � Demalition�
. � ❑ ❑ � ❑ - Q � ❑ � ' I
':a:�r.+.� '�^:: - I ' !�t�':."a�.�,,u`�❑'s.,�-S'us'. � �._. .� ` � � �
�
� „ t' .. . ' _ ;�., , '""�: �'. _ . _ .�_ . . . --- � � ' — � i ❑ � I
� ��. � I � � �❑' f ❑ . .
— — _ � � I �
._ . s I � 0� __I ❑ . Cl . -T . . C� . �_ ❑ _-I �
I
+ . . , r-� � - � -. o . -. � , .o . - �- - � . �
� = - o- -,o - � -o� ..-�� - ,.. -o w- o � �
- � o ❑_ _d_ -❑- -o- ❑-
� � -
_ .. _ I !
.(I'lease attach additional sheets of paper as needeil.}
3, Da you own other properties under a�her names? ❑ Yes,�,,No
� If Yes, please spec�y .
4. Dcies ihe proposed cie�elopment con£orrn with City of Fort Wa�-�h Zoni�g? �� Yes
�� �� 5. �s�this praperfy iinder a contx-act for deed? [] Yes � �I�Ta
❑ No
�
. ��..
t
2
` � �`a�T�o�Tx
6. Has tbe cons�ruciian on the praperty been com�letied or is it in the planning stage? What
type of construction? ; _
❑ Constr�action Compleied �1 tJnder Cn�nstxuctio� �C In Plannizx� Sta.�e
❑ New Constr�iction 0 Rehab ❑ New Cnnstnictzoz� [] Rehab �rlew Construciian [] Reha�
'�. If the c��astrUc�ion on tize properfy has been compleied when this applieation is subz�itted,
when was the work done?
S. . If it is a rehab property, does (or �iII) ihe rehabilitat�on wark� �one on the properiy equal
ta a� least 3Q°lo o�' fhe Tarrant Counfy Appraisal District {TAD) assessed value af the
structure during the year reliabilitaiion (rez�odeled) occurred? ❑ Yes ❑ No
*Only physical improvem�ents to real prvperty is el�gible. DO NOT include personal praperiy
suck� as furniture, agpliances, eq�iprnent; andlor s�tpplies.
TY.. �,f INCEl'�T�'VES � : .. $ . . a . . - , . ,- .
_ ' A �. RThat="incen�iv�s ax�e you appl�i�ng for?; � . � � - �
� Municinal Properiv Tax Ahate�ents �� � ' � '
� Develovment �'ee Waive�s - , �
� � All building permit re�ated fees {includir�g Plans Revievv and Xnspections)
� How much is y�ur totat develogrnent costs? $;,� f�'�"�,.� {�j (� :
� How much is the tatal squar� �`ootage a��our pxojeci? �- , squa.re feet
�..- _� Plat application fe� (inc�Iuding concept �Ian., preliminary p1at, final pla�, short forni replat}
� �oard of Adjustment�a�plica#ion fee
❑ Dernoli�ion fee �
.. " . [] Sfructure mo�ng fee � .�
I , _ � C:oxnrn�zzi�yFaci�ities:Agreem�nt.�(CRA) agplicationfee.. , ... _ . -, �. . - . .
� � � . .
�c�ning ap�Ii�ativn fe�- � � ° .
I . � Stree� and utility easernent
Im.taact �'ee'VVaivez-s . �
� �rnpact fee waiver �� - .
, 11�eter Size ,��� How many meters? ��v _ . ' ..
•. ltetease of Citv Liens
❑ Weed liens ,
�] ' Bo�ird upio��n siructur� Iiens, - : �
• '' [� � De�iol�tion Iiens . � -
� : � � ❑ Paving Iiens _.. — — — — — -- — • — — • -`
�
3
FORT �ORTH
;
'v. acxlvowLEn�m�rrr� - - - . - - - - — -- - _ _ _ _ _ _ ,
I h�reby certify that the �n#'o�a�o� pxo,4�z�ed is irue and accnrate to the best of �ny kz�owledge: I hereby
acl�riawledge that I have xecezued a copy of NEZ Baszc Incennves, which governs thc granting o�tax
abatements, fee�waivers ant� `rc;3ease af Ciiy Iiens, az�d that any VIOLATSON of the terms af the NEZ
Basic Inc�ntives or MISREPRE�EN'1'ATION shall constitute ground� for rejeciion o�an applicat�on or
termination of inc�ntives at �a discretion of the City. �
I understand that the approval of fee waivers and pther incen�ives sha11 not be deemed to be approval of
any aspect of �he p,rojeet. I understand that X a.m responsible in obtairairig required permits and
izxspectians froxn t�Ze City and in ensuriz�:g the project is locateci in the correct zoning district.
T agrae to provide any addztional informatian far determixiing eligibility as reqnested bq the City.
� ��,,�t � C. �/f6l�C�.� .��n� . (�� � .
('I'YPED NAM�) (AU ORC�EII S�G�VATURE) � — � .���1
- )
�Y-���=- � _,�_ - . — _
y "=�`�'_ — .� _ _ ` _ _ . �E�'1� f71.�1�: I:S�� {?j' C':i�llk� 5'{lli�[" ;1 ]� s � � ' ..— - - . -- __,_, _
j i— �f C � �l�l1 °�El': .
;.L- --_ __ _ �� ±'-�- - �. _ .� . C'i��kr ��#� #�'u1�t �1�,�rlh._��r��i�tr} D� d��"LfTlk'Il� - — . _ — '' ..
' - '- _' ',�� � ���F��" l �3!' . , . �- . �' _ .— _ � . — . . .
++_ -- :.,_� :::� . {1'{�ilillii'i��n �Ir�`4x�. i��l}i'� �T�L}C'�il. ���'1�� �'j}�I��� —
f - V .-j���. ' _ _ . .
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� Electxanic version of t�is form is avai�able by request. Please calI $17-871-73 $ l,to request a co .
_ _ . __ . �Y
- - . For Office Use Only ._ __ _ _. __ _. . - - .--, �
�-�pp�ication �Ta. �'J�[,'� �O �' �n vcrhich NEZ2 � � p
TAD iI7 - . . � . � �i� Canforfn wi�h�Zoning7 �`�.Yes� �.l�o
. � Cantract �'or deed7 . ❑ Yes ��Na Ty�pe? � �f .New consfruciian ❑ �Zeh�b �
Construcrion corrrpletion date? ❑ Befare NEZ .�C.}C After N�Z Oyvnershi
Rahab at or higher tha� 30%? • . p � Y� � No
❑�'�5 ❑ No Consistent wzth ihe NEZ pIan',7 �Cj yes �0 N6'
Tax current on fhis.propertY� � Yes �
❑ No Tax CtiiTeii$ O�i b%�leT' prOpert1�52 �] Y�s�T �`] No :�
City �iens on ilais gri�perty7 � � � :
Ciiy liens`fln'other properties?
o Weed Iien.s ❑ Yes � No . Weed liens , .
� Board-up/open structvre liens ❑ Yes 0 No
❑ Yes � No �� Board-up/open structuz-e Iiens � Yes YQ Na �
. � Uemalitior� �iens ❑ Yes X Na .
� DeixioZit�an liens ❑ Yes ,r�/] Na
� Paving liens ❑ Yes 0 No . P���� ��ens
Order of dezxiol.ition ❑ yes � No
� ❑ Yes Q No o prder of derr�oIition ❑ Yes � No
Certified7 ❑�eS � No Certified by Date certification issued?
�a��.��_ �
If not certif ed, reason � � -
Referred to: [�Econor�nic Developrrxent �Housin __ -
— _ . _ _ _ g _ODevelopmen# — �Water ❑Cade �`T�W �
Re�vised August Z3, 2001 " � '
4
City of �d�t T�Yarth, Te.�cas
M�yor and �ounci[ Cammun�ca-tion
�ATE
' SUBJECT
REFERENC� NUMBER LOG NAME PAG�
C-� 9�35 05NEZ � — --- �i of 3
AUTHORlZATiaN TO EN ER INTO TAX ABATEMENT AGR�EMENTS WITH THE
FORT WORTH HOUS�NG F[NANCE CORP4RATI4N �OR THE DEVELOPMENT O�
SIXTEEN SINGLE-FAMiLY HOMES F�R THE EASTCREST SUBDIVISiON LOCATED
1N THE ST�P S1X NEIGHBORHOOD EMPOWERMENT ZONE
��� oro2
RECOMMENDATION:
�t is recommended that the City Councif:
1. Apprave the �or� Worfh Hot�sing Fina�ce Corporatior� (FWHFC) appfication far Municipal Property
Tax Abatement for the Eastcrest Subdivision; and � �
2, Find tE�at tt�e statements set #arti� in t�e recitals of th� attached Tax Abatement Agreements {the
Agreements} with FWH�C are true and correct; and � �
3. Authorize the Ciiy Manager to er�ter inta tax abatement agreement� with
flf sixteen sing{e-family hom�s in t1�e Eastcrest Subdivisian located in
Em�owerment Zone (NEZ}, in accordance with the NEZ Ba�ic Incentiu�s,
D15CUSSI�N:
FWHFC for the development
the Stop Six Neighbarhaocf
The FWHFC is the developerlawner of the Eastcrest 5u��ivision in the 47Q0 Block �of East Berry Street
and Eastcrest Court located in NEZ No. 1�: � �
The FWHFC appfied for mun�cipal proper#y tax abatement ur�der fhe NEZ Bas,ic incenti��s {M&C G-
'i 32D8R dated June 5, 2D02, M&C G-� 358Q dated April 2, 20Q2, as amended, and M&C G-'i 3�62R
dated July 23, 2fl02, as arnended). The Hausing Department has reviewed the application ar�d certified
that the property meeis the eligibility criteria to receive NEZ municipal property #ax abatement. The
NEZ Basic Incentives offers a five-year municipaE property tax abatem�r�t of the increased value of
improvements to a deVelap�rlowner of any new home constructed witt�i� a NEZ. � �
Upon �xecution of the Agreements, the total assessed value of each home in the Eastcrest Subdi�ision
used for calculatir�g municipal pr�perty tax will be frozen for a five-year periaci, starting on January �, o�
the year follawing the year in which tk�e home is sold, at the pre-improvement v.alue a# each !ot as defned
by t�e Tarrant Appraisal District (TAD} an Jan�ary 1, 2aQ2, as folfQws:
Pre-ImProvemeni TAD Value of Improvements $ -D-
Pre-impro�emer�t TAD Vafue af Land $1,000 per lo# ..
Total Pre-lmprovement TAD Value $�,OQO per lot
�'ity of .�o�t �Yo�th, Tex�as
Mayor �nd Council Cammu�ica�tior�
�A7E REF�RENC� NUMBER, LOG NAME PAGE
9110ID2 . C�'99�3� i 05NE� � 2 of 3
su��Ec�r AUTHORIZAT}DN TO ENT�R INTa. TAX ABATEMENT AGREEMENTS V111TH THE
. FORT WORTH HOUSING FlNANCE C�RPORATI�N FDR THE DEVELOPMENT OF
SIXTEEN SINGLE-FAMII�Y HOMES FOR TH� EASTCREST SUB�IVISl�N LOCATED
IN THE ST�P SIX NE{GHBORH�OD EMP�WERMENT Z�NE
Adc{ress
3'100 Easfcrest Court
31 Q1 Eastcr�st Court
31 �4 Eastcrest Cfl�ri
3905 Easfcrest.Cour�
3108 Eastcrest Court
3109 Eastcr�st Court
3112 Easterest Caurt
31 �l3 Eastcrest Court
31 � s Eastcr�st Court
3� 20 Eastcrest Court
3124 Eas#cr�st Court
31 ZS Eastcrest Caurk
3132. Eastcrest Court
3133 Eastcrest Cour�
3136 Eastcrest Court
3137 Easterest Court
Leaal Description
Lot 10, Bfocic 1, Eastcrest Addition
Lot 6, Black 2T Eastcrest Addition �
Lat 9, Biock 1, Eastcrest Addition
Lot 5, Block 2, Eastcrest Addition
Lai 8, Block 1, Eastcrest Addition
Lot 4, Blacic 2, Eastcrest Addition
L.at 7, Bfock 1, EastcrestAddifion
Lot 3, Block 2, Eastcrest Addit9an
Lot 6, BlociC 1, Eastcrest Addition
Lot 5, Block 1, Eastcres# Addifion
Lat 4, BEock 1, Eastcr�st Addi#ian
�.ot 3, Block 1, Eastcrest Additiqn
Lot 2, Block 9, Eastcrest Addition
Lot 2, Block 2, Eastcrest Addiiion
Lot 1, B1ock 9, Eastcrest Add�tion
Lot �, Block 2, EastcrestAddition
FVIlHFC expects to complete con�tructian an or befare June 30, 2��3, and seEl the sixteen homes to
new awners. Upon the sale of each home by FWH��C, tl�e Housing Department staff w�ll �resent the
�aroposed assessment of the iax abatem�nt agreeme�ts to the City Council far approval if the new
owner me�ts a1l eligible criteri� as �stated �in the NEZ Basic IncEntives.
FWHFC wi�l invest $1,600,OOQ to construct sixteen singl�-family t�omes in the East�rest 5ubdivision..
The focation of the propased development,..typical elevatio�, and project descriptinn a�-e attached to this
Mayor and Council Communication. The mur�icipal property #ax on the impro�ed value is estimated at
$5b8 per house per year ar a totai of $44,fi40 over the five-year period. �
On Aug�st 13, 2002,� the above proposal was endarsed by the Ecanomic and Cammunity ❑evelo�m�nt
Cammittee far City Cour�cil approval.
The Eastcrest Subdivision is located in COUNCIL DESTRICT 5.
�`ity of .�''ort �o�th, Texus
�f�yor and Co�nc�1 �ar�mu�fc�tfo�
DAfE RE�ERENC� N�MB�R LOC� NAME PAGE ' �
9110/02 � C-'19235 �- � 05NEZ 1- -- 3 of 3
sus.�ECY . AUTHORIZATION TO ENTER kN70 TAX ABATEMENT AGREEMENTS WITH THE
� FORT WORTH HOUSING FINANCE CORPC3RATlON F�R THE DEVELOPMENT OF
SIXTEEN S1NGLE-FAMILY HOMES FOR THE EASTCREST SUBD1Vf510N �.00AT�D
iN THE STOP 51X NEIGHBDRHOOD EMPOUVERMENT ZONE
�ISCAl.1NFORMATIONICERTlF1CATIDN: � .
The �inance Director certifies that this actic�n will F�a�e �o material effect on City funds.
RR:n
5uhmitted for Gity 1Vlanager's
affiee by:
Reici Rec#or
OriginAting Department Head:
Jerome Waiker
Addi#ion�j Infarm�tion Contact:
614Q
� . FUND � ACCOUI�IT I
; {to}
�
7537 (from}
4 'l
� 1
CE�i'rEl� I AMOC]NT
CZTY SECRETARY
APPROVED 09/10/02
7erame Walker • 7537