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HomeMy WebLinkAboutContract 28123�li'Y �E���iARY ��f �.� ��3Ni�AC7 R� . _ e.—.� STATE OF TEXAS § , �1 COUNTY OF TARRANT § TAX ABATEMENT AGREEN�I�TT FOR PROPERTY LOCATED II�T A NE�GHB�RHOOD EMPOWERMEPIT ZON� This TA�L ABATEMENT AGREEMENT ("Agreement"} is entered into by and between the CITY OF FORT W�RTH, TEX�i.S (the "City"), a home rule municipal corporation organized under the lar�+s of the State of Texas and acting by and through . its duly authorized Assistant City Manager, and the Fort Worth Housing Finance Carporation, a nan-profit Y14U51I1� development corporation, {"Owner"), ac�ing by and through �erome Walker, its duly authorized Owners' Representative. . The City Counc�l ai the City of Fort Worth ("City Council") hereby finds and the City and Owner hereby agree that the following staternents are true and carrect and constitute the basis upon which the City and Qwner have enterc;d into this Agreement: A. Chapter 378 of the Texas Local Government Code allows a municipality to create a Neighbaz'hood Empawerment Zone (NEZ) if the municipalit� determines that the creation of the zone wauld promate: 1, The creatian of affordable hausing, including manufactured housing in the zane; 2. An increase in economic de�elopment i:n the zone; 3, An �ncrease in the quality of social ser}11CB5r educatian, or public safety provided to residents of the zone; or ` 4. The rehabilitation of affordable housing in the zone. B. Chapter 3'78 of the Texas Local Government Cod� pro�ides Chat a municipality �hat creates a NEZ, rriay enter into agreemenCs abating municipal property taxes on praperty in the zone. � C. On ruly 31, 2001, the City adopted basic incentives for property owners who own property lacated in a NEZ, stating that the City elects to b� eligible to participate in tax abatement and including guidelsnes and criteria governing tax abatement agreernents entered into between the City and various third parties, titIed "NEZ Basic Incentives" ("NEZ Incentives"), wh.ich is attached hereto as Exhibit "A" and hereby made a part of this Agreement for all purposes. D. The NEZ Incenii�es cantains apprapriate guidelines and criteria gaverning tax abatement agreements to be entered into by the City as contemplated by Chapter 312 of the Texas Tax Code, as amended (the "Code"). . � �.�� b���G��� 6`',� M I`��l�r� �J��l�'YL� , ' , i �z. E. �n September 11, 2001, the Fort Worth City Council adopted Ordinanc� No. 14767 (th� "Ordinance") establishing "Neighborhood Empowerment Reinvestment Zone No. �," City of Fort Worth, Texas (the "Zone"). F. Owner owns certain real property l�cated entireiy within the Zone and that is mare particularly deseribed in Exhibit "B", attached hereto and hereby made a part of this Agreement for ali purposes {the "Premises"). G. Owner or its assigns plan to construct the Required Impravements, as defined in Se�tion 1.1 of this Agreement and as described in Exhibit "C", on the Premises to be used far as a single-family T�51C��21C� that wil� be owner occupied. (the "Project"). � H. On September 28, 2001, Owner submitted an application far NEZ incentives and tax abatement to the City concerning the contemplated use of the Pxen�ises (the "Application"), attached hereto as Exhibit "D" and hereby made a part of this Agreement for all putposes. I. The eity Council finds that the contemplated usa of the Premises, the Required Improvements, as defined in Section 1.1, and the terms of this Agr�ement are � consistent wikh encouraging develc�pment af the Zane in accardance with the pnrposes for its creation and are in compliance with the NEZ Incentives, 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 Improv�ements, satisfy ti�e eligibility crit�ria vf the NEZ Incentives. K. Writte� notice ihat the City intends to �enter into this Agreement, aiong with a copy of thzs Agreement, has been furn'sshed in the manner prescribed by the Code to the presidin� of�eer5 of the governing badic;s of each of the taxing units in which the Premises is lacated. 1�OW, THEREFORE, the City and Owner, for and in cansideration of the terms and conditians set forth h.exein, do hereby contract, co�enant and agree as follows: � l.. OWNER'S COVENANT5. 1.1. Real Proueriv I�ovements. Owner shalI construct, or eause to be constructed, an and within the Premises certain improvements consisting af a sir�gle farnily residence, (i} of at least 1,2Q0 square feet in size, and (ii} having a construction cast upon completion af $ 60,Oa� including site development costs but such minimum canstructian costs shall be reduced by any CQii5iTLlCtlOtl C05i 5aV1Tlg5 (collectively, the "Required Improvements"). Owner sha11 provide a survey of ti�e completed hame show�ng Required Improvem�nts before . the home is sold, The parties agree that the �'mal survey shaxl be a part of thi� _����n�� �t� .� 2 � , .. � shall be ]abeled Exhibit E. Minor variations, and more substantial �ariations if approved in writing by both of the parties to �his Agreement, in the Required Improvements from the description pravided in the Application for Tax Abaterzaent shall r�ot consrit�te an Event of Default, as de�ined in Section A�.1, provided that the cflnditions in the first sen�ence of this Section 1.1 are met and the Required Improvements are used for the pua-poses and in the manner described in Exhibit "D". 1.�. Comaletion Date of Reauired Improvements. Owner covenants to substantially complete constr�ctzon Qf al� af the Required Improvements witlun two years frorn the issuance and receipt of the building pernvt, unless delayed because of force majeure, in which case the twa years shall be extended by the number of days comprising the specific farce majeure. For purgoses of this Agreement, force majeure shall rnean an even� beyand Owner's reasonable control, incIuding, without limitation, delays � caused by advers� weather, delays in receipt of any req�ir�d permi�s or approvals fram any governmentaI authority, ar acts of God, fires, strikes, natiflnal disasters, wars, riots and material ar labor restrictions and shortages as determined by the City of Fort Worth in its sale discretion, which shall not be unreasonably withheld, but shall not include canstruction delays caused due ta purely financia] matters, such as, without limitation, delays in the obtaining of adequate financing. 1.3. Use of Premises. Owner covenants that the Required �mprovements shall be constructed and the Premises shall be sold sa that it is continuously used as the primary residence of the Home Buy�r in accordance with the description of the Project set forth in Exhibit "D". In addition, Owner cov�nants that throughout the Term, the Required Improver�ents shall be operated and maintained for the purposes set forth in this Agreement and in a manner that is cansi�tent wiEh th� .general purposes of encauraging de�elopment or redevelopment of the Zane. � �. ABATEMENT AMOUNTS. TERMS AND CONDITIONS. Subject to and in accordance with this Agreernent, the City hereby grants to Owner a real property tax abaternent on the. Premises, the Required I�mprovements, as �specifically provided in . this Sectifln 2("Abatement"). "Abatement" of real pr�perty taxes anly includes City of Fort Worth-imposed taxes and not taxes from okher kaxing entities. �.1. Amount of Abatement. The actual amount of Che Abatement granted under this Agreement shall be based upon the incz'eas�; in vaIue of the Premises and the Required Improvements over their values on January 1, 2Q02 and according to the Tarrant Appraisal District, this amount is $1,000 the year in which this Agreement was entered into: _ � 3 �� � i_ ,. ,. ... One Hundred percent (lOQ°�o) of the increase in val�e from the canstruction of the Required Imprave�nents. If the total construction cnsts of the Required Improvements are Iess than as provided in Section 1.1 of this Agreement, except that such minimum con�truction casts shall be reduced by construction cost savings, Owner will not he eligibie to receive any Abatement under this Agreement. 2.2 Term of Abatement. The term of the Abatement {the "T�rm") shall begin on ranuary 1 of the year following the calendar year in which the Req�z�ired Iriipravement is sold to a Home Buyer to be used as its primary residence ("Beginning Date")_and, unless �. soon�r terminated as herein provided, shall end on December 31 immediately preceding the fifth (5�') anniversary of tt►e Beginning Date. Upon the sale to a Home Buyer, City shall certify that the Required Imgro�ements have been co�npleted in satisfaction of the terrn� of this Agreement. However, the Compiiance Auditing Term will bsgin on the date this a�ree�rient is executed and will end on the exgiration da�e af t�e Term. �.3. ProteSts Qver Anoraisals or Ass��znents. Owner shall have the rigk�t to pratest and contest any or all apprais�ls or assessments of the Premises andlor improvernents thereon. 2.4. Aba�ement Annlicaiion Fee. The City acknowledges receipt from Owner of the required Abatement application fee of twenty-five dollars (�25.00). 3. RECORDS, CERTIFICATION AND EVALUATION OF PRO.TECT. 3.1. Insuection of Premises. Between the executian date of this Agreement and the Iast day of the Term, at any time during construction of the Required 7inprovements and following reasonable notice to Ov�ner, the City shall have and Owner sYtall provide access ta the Premises in order for the City to inspect the Premises and evaluate the Required Irnprovements to ensure cornpliance wfth the �terms and conditions ai this Agreement. . Owner shall cooperate fully with tk�e Ciry during any such inspection andlor evaluation. 3.�. Certification � � . �. � � � ', � Property Owner, and Home Buyer once the property is �n1d, .shall c�rtify annually t� the City that it is in compliance with each applieable term of this agreeinent. The City shall have the right to audit at the City's expense the financial and business records af Owner that relate to the Con�truction of the Proiect and Abatement terms and conditions (collectiveiy, the "Records") at any time durir�g the +�ompliance Auditing Term in order to determine campliance with this Agreement and to calculate the correct percenta�e of Abatem�nt available to Owner. Owner shall make all applicable Records availabl� ta the City on the Premises or at another location in the City follvwing reasonable advance notice by the City and shall otherwise cooperate fiiIly with the City during any audit. � 3.3. Provision of I�%rmation. On or before February 1 following the end af every year during the Compjiance Auditing Term and if requested by the City, Owner shall provide information and dvcumentation for the previaus year that addresses Owner's compliance with each of th� terms and conditions of this Agreement far that calendar y�;ar. Failure to provide all infarmation within the control of 4wner required by this Section 3.3 shall cor�stitute an Event af Default, as defined in Section 4.T. 3.4. Determinatian of Comniiance. On or before August 1 of each year during the Compliance Auditing Term, the City shall make a decision and rule on the actual annual percentage of Abatement a�ailable to Owner for the following year oi the Term and shall notify �wner of such decision and ruling. The actual p�rcenta�e of the Abatement granted for a gi�en year of the Term is therefore based upon �wner's cornpliance with the terms and conditions of this Agreement during the pr�vious year af the Campliance Auditing Term. 4. EVENTS OF DEFAULT. �.1. Defined. Unless otherwise specified herein, Owner shall be in d�fault of this Agreement if (i) Owner fails ta construct the Required Improvements as de�ned in Section 1.1; (ii) ad valorem real property taxes with respect to the Premises or the Project,. or its ad valorem ta�ces with respect ta the tangibl� personal property lacated on the Premisas, become delinquent and Owner daes not ti�nely and properly follow the legal procedures for pratest andlor contest of any sueh ad valorem r�al progerty or tar�.gible personal property t�ces or (iii} klome Suyer does not usa the Prernises as primary residenc� ance the abatement begins (collectively, each an "Event of De�ault"}, 4.2. RTotic� to Cure. , �', , . Subject to Section 5, if the City determines Chat an Event af D�fault has occurred, the City shall provide a written natice to Owner that describes the nature of the Event of Default. Owner sha�l hav� ninety (90) calendar days fram the date of receipt of this written notice to fu11y ct�re ar have cured the Event af Default. If Own�r reasonably believes that Owner will require additional time to cure the Event of Defauit, Owner shall promp�Iy notify the City in writing, in which case (i) after advising the City Co�ncil in an open meeting of Ovwner's efforts and intent to cure, Owner shall have one hundred eighty (180} calendar days from the original date of receipt of tkie written natice, or {ii} if Owner reasonably believes that Owner will require more than one hundred eighty (180) days to cure the Event of Default, aft�r advising the City Couricil in an open meet�ng of Owner's e�farts and intent ta cure, s�ch additional time, if any., as m�y be affered by the City Council in its sole discration. � � 4.3. Termination for Event of Defau�lt and Pavment of Liquidated Dama�es. Yf an Event of Default which is defined in Section 4.1 ha� not been cured within tIae time frame.specifically allawed under Section 4.2, the City shall have Che righ� to terminate this Agreement immediate�y. Ownez' acknowledges and agreas that an uncured Event of Default will (i) harm the City's economic devetopment and redevelopment efforts on the Premises and in th� vicinity of the Premises; (ii) require unplanned and expensive additional adrninistrative oversight and involvemcnt by the City; and (iii) otYterwise harm the City, and Owner agrees ihat the ainounts oi actual damages therefrom are speculative in nature and wilI be difficult or impossible to ascertain. Therefo:re, upon termination of this Agreement %r any Event of Default, Owner sha11 not be eligible for the Abatement for the remaining Term and Owner shall pay the City, as Iiquidated damages, all taxes that were abated in accordance with this Agreement �or each year when an Event of Default existed and w�ich otherwise would have been paid to the City in the absence of this Agreement. The City and Owner agree that ti�is amount is a reasanable approximation of actual darnages that the City will incur as a result af an uncured Event af Default and that this Secti�n 4.3 is intended to provide the City with cornpensatior� for actual damages and is not a penalty. This amount may be recovered by the Ci�y through adjusfiments made to awner's ad valorem property tax appraisal by the appraisa� district that has jurisdiction aver �i�e Premises. �therwise, this amount shall be due, awing and paid tn the City within sixty {60) days follawing the effective date of temunation of this Agz�eement. In the ev�nf that all or any portion �f this arnount is not paid to the City within sixty (60} days following the effective date of termination of this Agreement, Owner shall also be liable for all penalties and int�rest on any outstanding amount at the stat�tory rate for delinquent taxes, as determi�ed by the�Cod� at the time of the payment of such penalties and interesC (currently, S�ction 33.01 of the Code). 4.4. Terminatio�i at Will. If the City and Owner mutually determine that the develapm�ent or use of the Premises or the anticipated Required Improvements are no longer apprapriate or feasible, or that a higher or better use is preferable, the City and Owner may terminate this Agreement in a written farmat that is signed by both parties. In this event, {i) if the Term � , , �_ I i ` - _... � has commenced, the Term shall expire as of the effective date oi the tenminatiQn af this Agreement; (ii) there shall be no recapture of any taxes previously abated; and (iii) neither party shall have any furrher rights or obligaiions hereunder. - �. 6. C�ty: EFFECT QF SALE OF PREMiSES. The Abatement granted hereunder shall vest anly in Owner and cannot be assigned_ to a new owner of al] or any portion of the Premises and/or Reqe�ired Impmvements withoat the prior written consent of the City Co�ncil, which cons�nt shall not be unreasonabiy withheld pravided Cha� (i) the City Council finds that the pxaposed assignee is financially capable of ineeting the terms and conditions of this Agreement and (ii) the propased purcl�aser agrees in writing to assume all terms and conditions of Owner under this Agreem�nt. Owner may nat otherwise assign, Iease or convey any of its rights under this Agreement. Any attempted assignment without the City Cauncil's prior written consent shall constitute grounds for termination of this Agreement and the Abatement granted hereunder �OIXOWJIIg t�ri (IQ) calendar days of receipt of written no�ice from the City to 4wner. In no event shall the abatement tierm be e�ttend�d in the event oi a subsequent sale or assi�nment. NOTICES. All written notices called for or :required by this Agreement shall be addressed to the fallowing, or such other party or adc�ress as either party designates in wr�ting, by certified mail, postage prepaid, or by hand delivery: � .' Owner: CiGy of Fort Warth Attn: City Manager IOOD Tk�racicmorton Fort Worth, TX 76102 7. MISCELLANEOUS. 9.1. Bonds. Fort Worth Housing Finanee Corporatian 1004 Throcicrnorton Fort Worth, Texas 76IO2 , The Req,uired Improvements will nat be financed by tax increment bands. This Agrecment is subject to rights of ho3ders o� outstanding bonds of the City. 7.�. Conflicts af Interest. 7 ;, . ��- � Neither the Premises nor any af the Required Tmprc�vements covered by this Agreement are owned or leased by any member of the City Council, any member oi the City Planning or Zaning Commission ar any member of the governing body of any taxing �n�ts in the Zane. '�.3. Cc�ni�icts Between Dacurnents. Tn the event of any conflict between the City's zoning ordinances, or other City ardinances or regulations, and this Agreernent, such ordinances ar regulations shall contral. In the e�ent of any eonflict between khe body of this A�reement and Exhibit "D", the body of tl�is Agreement shall cantrol. '�.4. Future Application. A partion or all o� the Premises and/or Required Irnprovernents may be eligible for carnplete or partial exemption from ad valorem taxes as a result of existing law or future legislation. This Agreement shall not be � cQnstrued as evidence that such exernptions do not apply to the Premises anci/ar Required Improvernents. i.�. Citv Council Authorization. This Agreement was authorized by the City Council t�irough approval of Mayor and Council Cornrnunication No, on . which, ambng oiher things, authorized the City Manager to execute this Agreement on behalf of the City. �.6. Estonnel Certificate. Any party hereto may request an estoppel certificate from another party hereto sa lvng as the certificate is requested in con.nectian with a bona fde busincss purpose. The cer�ficate, which if requested will be addressed to the Owner, shall include, but not necessarily be limited to, statements that this �greeme:nt is in full force and effect without default (or if an Event of Default exists, the nature of the Event of Default and curative action taken atidlar necessary to effect a cnre), the remaining t�rm af this Agreement, the levels and remaining term of the Abaternent in effect, a�td such other matt�rs reasonably requested by the party ar parties to receive the certificates. 7.i. 4wner 5tandin�. Owner shall be deemed a proper and necessary party in any litigation r�uestioning or chailenging the vatidity vf this Agreement or any of the underlying laws, orclinances, resolutions or City Cauncil actions authorizing this Agreemcnt, and .Owner shall be entitIed to intervene in any such litigation, 7.�. Venue and Yurisdiction. � , , $ .. � . r �_ Th�is Agreement shall be construed in aecordance with the laws of the State af Texas and appiicable ordinances, rules, regulations or policies of �the City. Venue for any action under ihis Agreernent shall lie in khe State District Court o� Tarrant County, Texas. This Agreement is performabie in Tarrant County, Texas q.9, Reco�datian. A eerti�'ied copy of this AgreemenC in recordable farm shall be recorded in the Deed Records of Tarrant County, Texas. '�10. Severability. If any provision of this Agreament is held to be invalid, illegal or unenforcea6le, the validity, legality and enforceability of the remainr.ng provisions shall not in any way be affected or impaired. 7.11. Headin�s liTot Contrallin�. Headings and titles used in this Agreement are for reference purpases only and shall not be deemed a paet af this Agreement. 7.12. Entiretv of Agreement. This Agreern�:nt, including any exhibits attached her�to and any documents incozparaied herein by re�er�nee, contains the entire understanding and agreement between the City and Owner, their assigns and succcssors in interest, as ta the matters contain�d herein. Any prior or contemporaneaus oral or written agreement is hereby declared null and vaid to �he extent in confliet with any pro�isian of i�is Agreement. This Agreement shall not be amended uniess ex�cuted in writing by both parties and approved by the City Council. This Agreement may be executed in multiple caunterparts, each of which shall be considered an original, but all of which shall constitute one instrument. „ , .,., +, � 9 EXECUTED tl�i� day of `�' , 2002, by the City of Fort Worth, Texas. EXECU�ITED this �day of �2,� t _�... � �_�.- Finance Corporatian. , 2QQ2, by Fort Worth Housing CITY OF F�RT WORTH: FQRT WORTH HOUSING F�NANCE By: � . ,' , � . .� , Assistant City Manager CORPORATYON: B � � �,� .��� � 7e a e C. Walker ATTES�': A'I"I'EST: ,� , , n , �y: � " -, . . �_ , � ��!_/ �_ By. it�y Sec etary APPROVED S TO FORM AND LEGALITY: ' � By: , Cynthia arcia Assistant City Attorney . ' I �. _ M&C: .� ... � . i,�,. li '' „ . � � �� +���� ��, STATE OF TEXAS § COUNTY OF TA�tRANT § BEFORE ME, the undersi�ned authority, on this day personally appeared �i d. �i�ToP�. Assistant City Manager of the CITY OF FORT WORTH, a municipal corporation, known to me to be �he person and officer whose narne is subscribed to the for�going instrument, and acknowledged tn rr�e that the same was the act of the said CITY OF F�RT WORTH, TEXAS, a municipal corporatio�, that he was duly authorized to perfarm the same by agpropriate Mayor and Council Communieation of the City Gouncil of the City of Fort Worth and that he executed the same as the act af the said C�ty for the purposes and consideration therein expressed and in the capacity therain stated. ' GNEN LTNDER MY HAND �ND SEAL OF OFFICE this �--' day of �,�Ir��J , 2002. . J��a�F-� �irt�Yt� Natary Public in and for the State of 'I'exas ' LOS�,IIf� �1`��tNe� Notary's Printed Name o��p� R05ELLA BARNES ��2 �j� NOTARY PUBLIC �Jp� State of Texas a�oF;� Camm. F�cp. 03-31-2005 . _—` ., _ a � �-�� �. . s��rn �, r'3A7v�Y � � I� 11 STATE OF TEXAS § COUI�TY OF TARRAN`T § BEFORE ME, the undersigned authority, on this day persanally appeared.�� �a�, � C•, �i ���.- ���•.�'t` af the Fort Worth Housing Finance Corporatian, a Texas non- profit corparation, � lcnoi�vn to me to be the person whase nazne is subscribed to the faregoing instrurnent, and aeknowledged to me that he executed the same for the purposes and cansideration therein expressed, zn the capacity therein stated and as the act and deed af the Fort Worth Housing Finance Corporation. GNEN UNDER MY HAND AND SEAL OF QFF�CE t�is I d��� day of ..��� `�-� �... �ca �- , 2002. �.�,e�„�_ �.�...�- . Notary Public in and for �he State of T�xas - -,��� ���„ - -�� , _'�" ��,�'; WfLLIM�I Ff�Wiif �: MY CONfMI$SfON EXPIRES =�i� o �,+;`= Janu&ry 27, 2003 _i. . • Notary's Printed Name �' _ �- .--. ,� ,. �..— . . ' � i2 Exhibit A: NEZ Incenti�es Exhibit B: Property Description Exhibit C: Project description including kind, number and location flf the proposed improvements. Exhibit D: Applicatian: (NEZ) Incenti�es and Tax Abakeinent Exhibit E: Final Survey � I�'F � I 13 �X/�f,�! s � � CliY OF' FORT WORTH AIEIGHBORbOOD �MPOWERMENT Z�N� {N�Z) �A51C IfVC�NiIVES Adapted �by the Fort Worth City Counci! on July 31, 2001 (M&C G-93208 Rj Arrrended by the Forf Worth City Council on Apri! 2, 2002 (M&C G-93580), July 23, 2002 (M&C G-93662) �. C�N�RAL. PURPOS� Ah[D O�J�CY11lES Chapter 378 o�F fhe Texas Loca3 Government Code a[lows a municipa[ity to crea#e a Neighborhood Empowermer�t Zone (NEZ) when a"...municipa�ity determines that the creatian of the zone would promate: (1) the creation of afFordable housir�g, including manufactured housing, in the zane; {2) an increase in economic development in the zone; - . (3) an increase in the quality of socia[ servicest education, or pub�ic safety proWid�d ta r�sidents of the zor�e; or (4) the rehabi�ifat�on af affordable housing in the zone." The Ci#y, by adopting the following incentives, wili promote affordahle housing and economic development in the NEZ. NEZ incenfiives will not be granted after the N�Z ex�ires as defined in fhe resol�tion designating the NEZ. Far each NEZ, the City Council ma�r approv� additional terrns and incer�tives as permitfed by Cf�apter 378 of fhe Texas Local Govemmer�t Code or by City Council resofution. However, any tax abatement awarded before the expiration af a NEZ shall carry its full term accnrdi�g.ta its tax abatement agreement approved by fhe City Co�ncil. . As manda#ed by sfate lavu�, fif�e property �ax abatemen# under ihis poCicy applies fo the owners of real property, Nofhing In the policy shail b� co�strued as an obligaiion by t�e Cifiy of �orf �Ilorfh to appra�e any �ax abatement applicafion. I!. D��Ii�IiI�NS "Abaterrtent°' mea�s the full or partial exemptian fram City of Fort Wtirth ad valorem taxes on eligible proper�ies far a period of up to 10 years and an amount o� up ta � 00% of the increas� in a�praised value �as reflected on the certifed tax roll ofi the appropriate county appraisal district) resulting fram irnpro�ements. Eligible proper�ies must be located in the NEZ. "Base Value" is the value of the property, excfuding land, as determined by the Tarrant County Appraisal District, during tne year rehabilitation occurs, "Building 5tandards Commission" E5 t�e commis�ion created under Sec. 7-77,' Article fV. Minimurn Bui�ding Standards Code of fhe Fort Worth City Code. � "Capital Investmenf" inciudes only rea! prope�iy improvements such as new facilities and structures, site improvements, facility expansion, and facility modernization. Capita! Investment does NUT inc�ude land acquisiffon costs andfor any �xisting improvements, or personai property {such as machinery, eaui�ment, andlar supplies and inventory). "Cify of Fort Worih Tax Abafemenf Policy Stafemenf" means ihe policy adopted by City Council on February 29, 20Q0. "Commercial/Indusfrial Developmenf Project" is a development project which propflses to canstruct or reha6ilitate commerciallindustrial facilities on proper�y that is (or meets fhe requirements to be} zoned commercial, indusfrial or mix�d use as defined by the City of Fort Warth Zoning OrdEnance. "Communrty Facility Develapment Project" is a development projecf which proposes to construcf or rehabiliiat� comm�nity facififies on property that allows sUch �se as defined by fhe Cify of Fort W�rth Zaning Ordinance. "Eligible Rehabilitatian" includes only �hysicaf improvements to real proper�y. Eligible ReE�abififafion does NOT include personaf property (such as f�rniture, appliances, equipment, andlar suppfies). � "Gross Flaor Area" is measured by taking the outside dimensions of the building at each floor Eevel, excep# thaf por��on of the basement use�i only for utilities or storage, and any areas within the buiiding used for off-sfreet parl�ing. "Minimurr� Building Sfandards Code" is Ar�icle N of the Fort Wnrth City Code adapted pt�rs�ant to Texas Local Governm�nt Code, Chapters 54 and 214. "Mrnority Business Enferpr�se (MBE)" and "Womert Busrness Enterprise (WBE)" is a minority or woman owned business that has r�c�iv�d certification as eifher a ceriified MBE or certi�ed WBE by either �he North Texas Regional Certification Ag�ncy (NTRCA} or fhe Texas Depar#ment of Transportation {TxDot), Highway Division. "Mixed�Use Develo,pment Project" is a�evelopment praject which �roposes to construct or rehabilitate mixed-use facilities in which residential �tses constitute 20 percent or more of the total gross �Floor area, and office, eating and entertainment, and/or retail sales and service uses canstitute 10 percent or more of the total gross �l�or area and is on property that is {or meefs the requirements to 6�} zaned mixed-use as ciescribed by the Cify of Fart Worth Zoning Ordinance. "Multi-family Development Project" is a development project which proposes ta construct or rehabili#ate multi-family residentiai living units on properky tha� is (ar meets the requirements ta be} zoned multi-family or mixed use as defined by the City af Fort Worth Zoning Ordinance. "Reinvestrrlent Zone" is an area designated as such by �h� City of Fort Workh in accorcfance with tha Property Redevelopment and Tax Abatem�n# Act cocf�fiec� in Chapfer 312 of th�e Texas Tax Code, or an area desig�ated as an enterprise zone pursuant ta tf�e Texas Eriterprise Zor�e Acf, codifiec! in Chapter 2303 flf the Texas Government Code. � A. IVfUf�ICIPAL PROP�R7Y TAX A�A`�EM�N I S R�SID�fViIAL PROP�RiIES LOCATED IFd t4 N�: F'U�� A�AT�F�IEWT FOR � YEARS 2 .�. For residential property purchased before NEz designation, a hameowner sha[I be eligibie fa apply for a tax abatement by meefEng the following: a. Property is awner-occ�pied and the primary residence of the homeowner prior to the final NEZ designation. Homeflwner shall pro�ide praofi Qf ownership by a warranty deed, affidavit of heirsl�ip, or a probat�d will, and shall show proof c�f prEmary residence by �omestead exemption; and b. Hameowr�er must pertorm Eligi63e Rehabilitatiort on the praperty after NEZ designation equal to ar in excess of 30°/a of the Base Value of the property; and c. Property is not in a tax-delir�quent status when the abatement application is submitted. 2. For resicfential proper�y purchasad after NEZ cfesignatio�, a homeawner shall be eligible to a�ply for a tax abatement by meeting the fo[lowing: a. Praperty is newly construcied or reF�abilitated after the date of final NEZ � designation; and b. Property is owner-occupied and is the primary residence of the homeowner. Homeowner shalf pro�ide proof of own�rship by a warranty deed, affidavit of heirship, ar a probated will, and shall show proof of prir�iary residence by homestea� exernption; and c. For rehabilitated praperty, Eligible Ref�abilitation costs on the pro}�erky s�all b� equal to or ih excess of 30% of the Base Va[ue of the proper[y. The seller or owner shall pro�ide the City i�formatian to support re�abifitation costs; and d. Property is nat in a#ax-defi�quent status wF�en the abatement applicatian is su6miti�d, and e. Pr�perty is in confarmance with the City of Fork Vllor�h Zoning Ordinance. � 3. �or i�vestor owned single family property, an investor shall be eligible to apply for a tax abatem�nt by meeting the fio[lowmg: a. Proper�y is newly constructed or rehabilitated by the inv�stor after NEZ designation; and b. For rehabilitated �raperty, Eligible Rehabiliiatian costs on the praperty shall be equal to or in excess of 30% o� the Base Value of the property; and c. Property is nof in a tax-delinquent status when the abatement appiicatian is subm�tted; and d. Praperty is in conformance with the City of Fork Worth Zoning �rdinance, �. MU�iI-��NfI�Y 91�V��.O�iVi�idi �ROJ�CYS �OC�oTE9 Cf� A PI�� '[. Full Abatement for 5 years. In ord�� to be e�igible for a properly tax a�atement, u�aon comple#ion, a newly canstr�cted or rehabilitated mu4#i-family development project in a NEZ m�st satisfy the following: At least twenty }�ercent (20%} of the total uni#s constructed or rehabilitated sY�a�f be affordable (as defined by ti�e U. S. Departm�nt of Ho�sing and Urban De�e[opmenfi} to persons with incomes a# ar below eighty percent (80%) of area median income based on family size an� stach units shall be set aside for persons at or below 80% of the median inc�rne as defined by the U.S. Department af Housing and Urban Dev�lopment. City Co�ncil may wai�e or reduce fihe 20% affordability requirement on a case-by-case basis; and (a} For a muiti family deve[opment project constr�et�d after NEZ designation, the project musf pravide at [easi fi�e {5) residentiaf li�ing units OR have a minimum Capital Investment af $200,Q00; or {h} FQr a rehabilitatian project, the pro�erty must be rehabifitated after NEZ designation. Eligibl� Rehabilitation costs on the property shall be at [east 30°/a of the Base Value of the pro�er�y. Such �ligible Rehabilitation costs musf come fram the rehabilitation of af Ieast five (5) residentiaf living unifs ar a minimum Capifal lnvestment of $200,000. 2. 1%-1 QO% Abatement ofi City Ad Valorem taxes up to 10 years If ar� appiicant applies for a tax abatement agreement with a#erm af more than five years, this section shall apply. Abatements for mufti-family development projects for up ta 10 years are subject to Ci#y Cour�cil approva�, Th� applican# may apply with the Housing ❑epartment for s�ch abatement. . Years 1 throuah � v� tF�e `�ax Aba�emen� Aareeme�f Muiti-family projects shaEl be eligible for 100% abatemenf of Cify ad �alorem faxes for years one through five af the Tax Abatemer�t Agreement upon the satisfaction af the follawing: � At leasf twenty perc�nt (20%} of the total units constructed or rehabilitated shall be af�orda�le (as defined by the U. S, De{�ariment of Hausing and Urban Development) to persons with incomes at or be�aw eigf�ty percenf (80%} of area median income based on family size and such uniis shall be set aside for persons at or belaw 80% of the median income as defined by t�e U,S. Depariment of Housing and Urb�n Development, City Counci! may waive or reduce the 20% affordability requirement on a case-by-case basis; and a. For a multi-family development project cor�structec{ after NEZ designaiion, the prdject must pro�ide at least five (5) residential liv�ng ur�i�s OR have a minimum Capital Investment of $200,000; ar b. For a rehabiliiati�n projeci, the property must be rei�abilitated after NEZ designatian. Eligib�e Re�abifitation costs on ti�e property shall be at least 30% af the Base .Vafue of the property. Such Eligible R��abilitation costs m�st come from t�� reha�ilifation of at least fi�e (5} residential [iving un�ts or a minimum Capital Investmenf of $200,000. Years 6�hrouqh 10 of the �ax l�batemen� �Qreernent Mu�ti-family projects shall be eEigi�le for a 1-100% abatement af City ad �a[orem taxes far years six tF�roug� ten flf fhe Tax Abatement Agreement upon ihe satisfac#ion of the following: a. At leasi iwentiy percent (20°1�) of the total unifs canstructed or renab�litated shaif be afFordable (as detinecE by the U. S. Depar�ment of Housing and Ur�an Development) to persons with incames at or below eighty percent (SO%} of area 4 median income based on family size and suc� units sha�l be set aside for pe�sons at or �elaw 80% of th� median income as defined by the U.S. Department of Housing and llrban Developmen#. C�ty Council may waive or reduce fhe 20% affordability requirement on a case-by-case basis; and 1. F'or a multi-family develapment project canstructed after NEZ designation, the project m'ust provide at feast five (5} residenfial living units OR have a rninimurn Capital Investm�nt of $200,000; or 2. For a rehabilita�ion project, the property mUst be rehabilitated after NEZ designation. Eligible Rehabilita#ion costs on the �roperiy shall be at least 30% ofi the Base Value of the prnperty. 5uch Eligible Rehabilitatian costs must come fram the rehabi�itation of at least five (5) residential li�ing units or a minimum Capitaf lnvestmen# of �200,000, b. Any other terms as City Gouncif of the City of Fort Worth deems appropriat�, inciudir�g, but no# limited to: 1, utifization of Fori Worth compan�es far an agreed �pon percentage of the total costs far cons�ruction contracts; 2. uti�izafian of certified minarity and women owned business enterprises for an agreed upan percentage of the total costs fior construction contracts; 3. pro�erty inspaction; 4. commit to hire an agreed up�n percentage of Fort Wo�h residents 5. commit to� hire an agreed upon percentage of Centrai City residents 6. landscaping; . 7. tenanf selection plans; ancf 8. management pians. C. COiVIME�tC[AL, INDUSiR�AL A�lD COiiIIhI�URlITY FAClLITI�S p�V��OPM�NT ��OJ�Ci'S L�C�TED Ih! A NEZ 1. Full Abatement for 5 years. In arder fo be eligible for a property tax abatement, a newly cor�strt�cted or rehabilitated cammercial/ind�strial and communiiy fiacilities developmenfi project in a NEZ must satisfy the fallowing; a. A cammercial, industriaf or a cammunity faciEities dev�lopment project constructed after NEZ designation rrtust ha�e a minimum CapitaE Investment of $75,000; or b. For a rehabilitation project, it must be rehabili#ated after NEZ designation. Eligible Rehabilitation costs on the property shal� be at leasf 30% of tf�e Base Value of the property, ar $7�,000, whichever is greafer. 2. 1%-100% Abat�ment of City Ad Valorem taxes up to � 0 years If an applicant applies for a tax abaiemenf agreernent with a term of more than five years, this section shail apply. Abatemenf agreements for a Cammercial, [ndustrial and Community Faciiities Development projects for up to 10 years are subject to Ciiy Counci� approval. The 5 applicant may apply w�th the Economic and Cammunity Development Department tor such abatem�nt. Years 1 fc�rouah � of the Ya�c Aba�eme�t Aar�emenf Commercial, Industriai and Community Faci�ities Development projects shall be eligible far 100% abatement of City ac� valorem taxes for the first five years of the Tax Abatement Agreement upon fhe safisfactiort of tf�e fallowing: . a. A commercial, industrial or a communify facilities development project constructed after NEZ designation must have a minimum Capita[ frtvestment af $75,000; or b. For a re�abiliiation praject, it must be r�habifitated after NEZ designation. E[igibl� Re�ablitatiar� cflsts on the property shali be at least 30°/Q of the Base Value of the property, or $75,OOQ, whichever is greater. Years 6 throuah '10 of the iax Abatemenfi �►areement Commercial, Industria[ and Community Faciiities Development prajects shail be eligible far 'i %�100% abatement of City ad valorem taxes for years six throug� ten of the Tax Abatement Agreemenf upon the satis�action of the following: a. A commercial, industrial or a communiiy facilities de�elopment projecf cflnstructed a#�er NEZ designafion must ha�e a minimum Capital lnvestment of $75,000 ancf must meet the requiremenfs of subsectian (c) befow ; or b. �or a rehab�lifatian project, it musi be reha�ilitat�d after NEZ d�signation. Eligibl� R�habifitation costs on the property shall be at leasf 30% af th�e Base Value of the property, or $75,OOD, whichever is greater and meet the requirements ofi subsectian {c) below. c. Any other terms as City Council of the City of For� Wor�h deems appropriate, including, but not limi�ed to: 1, u�ilization af �ort Worth companies for an agree� upon percer�tage of the tatal costs for cons#ruction cantracts; 2. utilization of ce�ified mir�ority and women owned busirt�ss enterprises for an agreed upon percentage of the total costs for consfruction contracfs; � 3. commit to hire an agreed upon percentage of Fort Worth residents; 4, cammit ta hire art agreed upor� percentage of Central Cify resitfents; and 5_ landscaping. • �. iVIIX�DoUSE DEVELOPiVIENT PROJ�C7S �,OC,a,T�9 iN A[VE� 1. Full Abatement for 5 years. In order to be �li�ible for a praperty tax abatement, upon campletian, a newly construcied or reF�abififated mixe�-use dev�lopment praject in a NEZ must satisfy the folfawing: a. Resideniial uses in fhe project consfitut� 20 percent ar more ofi tl�e total Gross Floar Area of the project; and b. Office, eating and entertainment, andlor retail sales and service uses in the projecf constitute 10 percent or mare of th� total Gross Flaor Area of the praject; and 0 (1) A mixed-use de�elopmenf project constructed after NEZ designation m�st have a minimum Capifal Inv�stment of $200,OOQ; or {2) For a rehahi�itation project, ii must be rehabilitat�d. after NEZ �esignaiion. Elig�ble RehabEiitatiar� cnsts on the praper-ty shall be .af least 30% of the Base Vai�te af the properiy, or $240,a00, whic�ever is greater. 2. 1%-100% Abatement of City Ad Valorem taxes up ta 10 years If an applicant applies for a tax abatement agreement wifF� a term of more than five years, fhis section snafl ap�ly. Abatemenfs agreements for a Mix�d Use Develapm�nt projects for u� to 10 years are subject to City Council approval. The applicant may a�ply with t�e Economic and Community Dev�lopment Depar�ment far such aba#ement. Years 1 ihroe�qh 5 o�F tihe iax Abatement p►areeme�4 Mixed Use Development projects shali be e�igible for 100% abatement of City ad valorem taxes for the first fi�e years of th� Tax Abatement Agr��ment upon the satisfactian of the fallowing: a Residential uses in the prnject consf�t�te 20 percen# or more of the tatal Gross Floor Area af t�e pt'oject; and b. Office, eating and entertainment, and/or retail sales and S�I"V1C� US�S in the ��oject canstitute 10 �ercent or more of the tota! Gross Floor Area af t�te praject; and c. A new mix�d-�s� de�efopment project constructed after NEZ designafion must have a minimum Capital in�estment of $200,000; or for a rehabiiitafion projecf, it must be rehabilitated after NEZ desi�natian. Eligible Rehabilifa#ion casfis on the property sF�all be at feast 30% of the Base Value of the proper[y, or $200,OOD, whic�ever is greater. Years 6 throerah 10 of the iax Abatem�t�t Anreem�n� Mixed Use �evelapment projects shall be eligible for �-100°fo abatement af City ad r�alorem faxes f�r years six fihrough ten of the Tax Abatement Agreement upon the satisfaction of the fallowing: a. Residential uses in the project constitute 20 percent ar mare of ths total Gross Ffoor Area af t�e project; and b. �ffice, eating and entertainment, andlor refail sales and service uses in the projecf constitute 1 a percent or more af �he total Gross Fioor Area of the project; c. A new mixed-use development projecf c�nstruc�ed after NEZ designation must have a minimum Capital In�estment o� $200,000; or for a rehabilitation project, it m�st be re�abifitated after NEZ designation. E�igible R�ha�iGtation costs on th� proper�y shall be at Ieast 30% of the Base Vafue of the property, or $200,000, whichev�r is greater; and d. Any other terms as City Co�ncil of the C�ty of Fort Wort� deems appropna�e, including, but not limited fa: �. utilization ot Fort Worth camparties far an agreed upon percentage of th� total costs for canstruction contracts; 7 2. utilization of certified minarity and women owned business enterprises for an agreed upon percentage of t�e total costs for construction cantracts; 3. }�roper-ty inspection; 4. commifi to hire an agreed upon �ercentage of Fort Worth residenfs 5. commit ta hire an agreed upon pereentage of Cenfra� City resic�ents 6. lan�scaping; 7. tenant selectian plans; and " 8. rrEanagement plans. �. ABAT�M�IVi GU[D€L1Pl�S 1. Ef a NEz is located in a Tax fncrement Financing District, City Council wilf determine an a case-by-case basis if the tax abatement incentives in Section I�[ will be offered to eligib�e projects. Eligi�le projects rr�ust meaf afl eligibiiity requirements speeified in Section I�E. 2. In order ta be eligibl� to appfy for a tax abatement, the properry ownerldeveloper musi: a. Not be delinque�t in paying praperty taxes far any proper�y owned ownerldeveloper ; and 6. Not have any City of Fort Wor�h liens fi�ed against any praperty owned appficant property awnerl�evaloper. "Lier�s" includ�, b�t are not limi#ed to Ifens, demolition [iens, board-uplopen s�ructure lie�s and paving Eiens. 3. Prflperties under a eontract for deed are not eligible for tax abatemenf. by #he by the , we�d 4. Dnce a NEZ property owner of a residentiaf �roperty (incfuding� multi-family} 9n the NEZ saiisfies the c�-iteria set forth in Sections !Il.A, E.1, and E.2. and applies for an abatement, a property owner must enter into a�ax abatement agreement with the Ciiy of Fort Worth. TY�e tax abafemeni agreement shall automatically termina#e if the properfy subject fo the tax abafemen� agreement is in v�olation of the Cify of Fart War�h's Minimum Bui[ding Standar�s Code and fhe owner is convicted af such vialafion. 5. A tax abatement granted under �he criteria set farth in Sectton I[I. can anly be granted once for a property in a N�Z for a maximum term �f as specifiied in the agreement. If a proper�y an which tax is being abated is sold, tt�e City will assign the fax abatement agreement for the remaining term once the new owner submits an application. _ 6. A pro�erty owner/cEevelaper of a multi�amily s�evelopmeni, camm�rcial, industrial, community facilities and mixed-�s� development prajecf in the NEZ who cEesires a tax abatemenfi under Sections III.B, C or D must: a. Satisfy the criteria set farth in Sactions III.B, C or D, as applicable, and �Sec#ions 1[l.E.9 E_2; and �3. and b. Fiie an application with fhe Housing Deparkment or the �canomic and Community Development Depariment, as applicable; and c. The pro��rty owner must enter into a tax abatemenf agreemenf with tf�e City of Fort Worth. �n addition to the oth�r terms of agreement, tne tax abatemenf agre�ment shall provide ihat tF�e agreement shall automatically terminat� if the awner receivEs on� convictian of a violation of tf�e City of Fort Worth's Minimum Building Standards Code regarding the properfy subject ta the abatement agreement during iF�e term of the tax abaterr��nt agreement, and d. If a praperty in the NEZ on which tax is bei�g abated is sold, the new owner may enter into a tax abatement agreemenf on t�e praperky for tF�e remaining ferm. �. APPL1Cr4ilON ��� 1. The applicatian fee for resider�tial tax abatements govemed under Section III.A is $25. 2. The app�ication fee for mtaiti-fami�y, commercial, indusirial, community facilities and mixed-use development projects governed under Sections 111.B, C.1 and D.1, is one- halfi of ane percent {0.5%} of the praposed project's Capiial Investme�t, noi fo exeeed $�,QDO. The appfication fee wili be refiunded upon issuance of certificate of �final oceupancy and once the property owner enters into a tax abatement ag�eement with the City. Otherwise, the Application Fee shall r�af be credit�d or ref.unded to any party for any reason. IV. F�� VVAfVER� A. ELIGI�L� R�CI�I�N�SIP�tO��RiIES 9. In order fo be eligib[e to a�ply for fee waiv�rs, the �raperty ownerldevelaper must a, Not be delinquent in paying proper�y taxes for any property owned by fihe ownerldeveloper or applicani; and b. Naf have any City liens fiiled agai�st any pro}��rty owned by the applicant praperty ownerldeveloper, including but not limited ta, weed liens, demolition liens, board- uplop�n structure liens and paving [iens. 2. Properties un�er a contract far deed are not eligibEe for devefopm�nf fee waivers. 3. In arder for Deve]apment Fees andlor Impact Fees �o be wai�ed for new consfruction or rehabi{itation projects locat�d in the NEZ, a property owner must submit an applicafion fa the City. Approval of the application and waiver of ��e �ees shal!' not be deemed to be appro�al a� anv_aspect of the proiecf. Be�ore constructian, the applican� mu�sf ensure fchat the pralect is Iocated in �he correct zon'rna dis#ricf. B. �EV�LOPiVi�fVT �'E�S Once the Application for NEZ lncentives has been approved by the City, the following fees tor services performed by the Cify ot Fort Wor�h for �rfljects in the NEZ are waived for new construction projects or rehabifitation proj�cfs �hat expend at least 30°fo of fh� Base Value of the property on Efigible Rehabilitafion costs: � 1. All buildir�g permit related fees (including Plans Review and fnspections) 2. Plat applicafion fe� (including concept plan, preliminary pEat, final plat, shorf form replat) 3. Board ot Acijustment application fe� 4. Demoliftan fee 5. Sfiructure moving fee 6. Community Facili�ies Agresment (CFA} appfication fee 7. Zoning a�plicafion fee 8. Street and utiliiy easement vacation applicaiian #ee O�her de�eloprrient relat�d fees naf spec[fied abo�e wifl be cansid�red for approval by City Council an a case-by-case basis. C. INlPACT F�� 3. 5ing�e family and multi-family residen�iaf deve�opment projects in the NEZ. Automatic 100% waiver of wate� and wastewater impact faes will �e applied. 2. Cammerciai, indusfriaf, mixed-use, or community tacility develapment �rojects in the N EZ. a. Autamatic 100% waivar of water and wastewater im�act fees �p to $55,D00 or equivalent to two 6-inch met�rs for each commercial, industrial, mixed-use or commur�ity facifiiy de�elopment pr��ect. b. If the praj�ci requ�sts an impact fee wai�er exCeeding $55,Ofl0 or requesting a waiver for I�rger andlor mo�e than two 6-inch meter, then City Council approval is required. Applicant may request the additional amount of impact fee waiver thraugh the Housing Department. . V. RELEAS� QI� CIiY LIFNS The fallowing Cify liens may be released for eligible proper�ies or projects in a NEZ: �. w��� �E�tus The fo{low�ng are eligible to apply for reiease of weed liens: 1. Singfe �nif ownars performing rehabilifation on their properties. 2. Builders or develapers constructing new homes on �acant IQts. 3. Owners performing rehabilitation on m�lti-family, commercial, industrial, mixed-use, or community facility properties. . 4. Developers constructing new rnulti-family, cammercial, industriaf, mixed-use ar community facilify development prajects. �3. �EM�LITiOF� L1FNS 1Q Build�rs or developers developing or rehabilitating a property are efigible fo apply for release of demolition fiens fnr up to $30,000. Release of demolitio� fiens in excess of $3a,000 is subj�ct to City Coune�l approval. C. �OAR��UPIOPEN S7'I�UC7UR� LIENS The following are eligible to apply #ar r��ease ofi board�uplopen structure liens: 1. Single unit owners performing r�habilitation on their properties. 2. : Builders or de�elopers constructing new singf� family homes on vacant lots. 3. Qwners pe�Forming rehabili#ation on multi-family, commercial, in�ustrial, m�xed-use, or communify facility properties. �. Developers canstructing multf-family, commercial, industrial, mixed-us�, or community facility projects. D. PAVING LIEWS The following are e�igible to apply for release af paving lie�s: 1. Single ur�it o.wners perForming rehabilitatian on their properties. 2. Builders or de�elopers constructing new Y�omes an vacant {ots. 3. � Owners performing rehabilitafion on multi-family, commercial, industrial, mixed-use, or community facifity properties. 4. Developers constructing multi-family, commercral, indusfrial, mixed-use, ar community facility projects. �. ��1GI�L� RECIPI�NTSl��iO�'ERTI�S 1. In order io be eligible to apply for reEease of Ci#y liens, the pro�erty owner/de�elaper: a. must not be delinquent in paying property faxes for any property owned by the ownerlde�elaper b. must nof ha�e been subject to a Bui[ding Standards Commissian's Orc�er of Demolitian where the praper�y was demafished within the last five (5} years; and c. must not have any City o� �ort Worth liens filed against any otE�er pra�erty owned by tne applicant praper[y ownerldevefoper. "Liens" includes, b�f is noi limited to, w��d liens, demolitian liens, board-uplopen structure liens and paving liens. 2. Proper�ies �nder a contract for deed ar� not eligible for release of City liens. VI. PROCLDURA�57'�PS ,�o. AP��ICA�1�[V SU�i1�ISSION � he .applicant for NEZ incentives under Sections iil.A, B, C. D.; IV, and V must complete and submit a City of Fort Worth "A�plication for NEZ Ir�centives" anc� pay the appropriate applicatiion fee to the Housing Departm�nt or the Econamic and Community De�elopmenf Department, as appficable. �1 2. The applicant for ince�tives under 5ections III.C.2 and D.2 musi alsa complefe and stabmit a City of Fort Worth "Applicatioh for Tax Abatement" and pay the appropriate application fee to the Economic and Cammunity De�elopment Department. The application fee, review, evaluatiorr and appro�al wilF be governed by Ci#y of Fart Wor�h Tax Abatement Po[icy Stat�ment for Qualifying Development Projecfs. �. C�RTIFIG�T�OiVS �OR AP�'�lCAoTIONS LI�IDER SECi'IONS III.A, B, C,'I, D.'!, IV, �►N� 1� Tne Housing Depar�ment will review the ap�iicatian for acct�racy and compfeteness. Once complete, Hous�ng Department wiq certify eligibility of the applicat�on based on the cri#eria set fortY� in 5ection III. A, B, C.1, �.1, !V, and V of ihis policy, as appi[cable. Once an application is certified, the Hausing Department will infior�n appropriate departmen�s administer�ng the incentives abo�t tf�e certified application. An orientafion meeti�g witn City departmants and the applicar�t may be sc[�edt�led. The deparimenfis include: a. Housing Department: pro�erty tax abatement for residential pro�erties and multi- famify development projects, release of Cify liens. b. Economic and CorrEmunity Development Depariment: property tax abatemen# for commercial, industrial, cammunity fiacilities or mixed-use devel�pment projects. c. Development Departmenf: de�elopmenf fiee waivers. d: Water De�artment: im�act fee waivers. e. O�her appropriate de�ar�ments, if applicable. 2. Once De�elopment Department, Water Department, Economie and Community Deve[opment Departmant, anc�lar other appropriate department receive a certified app�icatio� from the Hausing Department, . each departmentloffice shall fill out a "Verification af NEZ �ncentives for Certified NEZ Incentives Application" and refurn it to the Housing D�par�ment for record keeping and tracking. C. APPLIC�.TIOP! RE!lIEW ARlC� �VALUA�'ION �OR �PLICATIOPlS 1. Property Tax Abatement for Residenfiia! Properties and Multi-famiiy De�eEa�ment Projects � a. For a camplefed and certifed applicatian for no mare t�an five years of tax abatement, with Counci! a��roval, the City Manager shafl execute a tax abatem��f agreement with the applicant. b. �'or a completed and cer�ified muf#i-family development praject ap�lication for more than fi�e years of tax abatement: (1 } The Housing Department will evaluate a completed and certified application based on: �a) The project's increasE in the vafue flf the fax base. (b) Casts fio th� City {such as infras#ructure partieipation, etc.). (c} Percent ofi construcfion �contracts committed to: (i} Fort Worth based fiirms, and �ii) fVlinority and Vllomen �wned Business �nterprises (MIWBEs). (d) Other items which may be negofiiated by the City and the applicant. 12 {2} Consideration by Council Commiitee. Based upon the oufcome of the evaluation, Housing Department may preser�t the applieation to the City CaunciPs Economic Develapment Commiftee. SE�ould the Housing �epartmenf present the appfication to the Economic Devalopment Committee, the Committee wifl consider fhe application at an open meeting. The Committee may: {aj Apprave f�� application. SfafF will then incflrporafe the application into a tax abatemenf agreement which will be sent ta the City Council witn the Committee's recommendation to appra�� the agreement; or (b) Request modificafions fo ttie application. Housing Department staff will discuss the suggested mfldifications with the app�icant and then, if the requested madifications are made, resu�mit the modified application to the Committee for ctins�deratian; ar (c) Deny the applieation. The a�apficant may appeal fhe Committee's finding by requesting the City Councii to: (a) disregard fhe Cammit�ee's finding and (b) instruct city stafF to incorporate the applicaiion into a fax abatement agreement for future con�iderafion by the City Council. (3} Consideration by the City Council Tne City Ca�nci[ retains sole autnori#y to approve ar deny any tax abatement agreement and is under no oaligafion to appro�e ar�y tax abatement application or tax abatement a�reement. The City of Fort Worth is u�der no obiigation to provide ta�c abaf�menf in any.amount or vafue io any applicant. c. Effecti�e Date for Approved Agreements AI! tax abatements approved by the City Counci� will become effecti�e on January 1 af ff�e year following the year in which a Certificate of Occupancy (CO) is issUed �or the qualifying development project {unless otherwise s�ec�fied in the #ax abafement agreement}. Unless oth�rwis� specified in the agreement, iaxes le�i�d d�ring th� canstrucfion of the project shall be due and payable. 2. Praperty Tax Abatement for CammErcia[, Industrial, Community Facilities, and Mixed-Use Development Projecfs a. For a completed and certified applicatio� for no more than five years of fiax abatement, vwifh Council approval, the City Manager sha[I execute a tax abatement agreement with tt�e applicant. b. For a completed and certified application for more than �ive years of tax abatemen#: (1) The Economic and Community Devaiopment Departm�nt will ��afuate a compl�#ed and ceriified application based an: � {a} The project's increase i� fhe valus of th� tax base. {b) Cosfs to the City (such as in�rastrucfure participatian, e#c.). (c} Percent of consfructinn contracts committed to: (i) �art Worth based firms, and (ii} Minarity and Wom�n owned Business Enterprises (MIIlUBEs). (d) Other items which may be negotiated by the Ciiy and the applican�. �3 {2} Consideratian by Council Commitfee . ' Based u�on the oufcome of the e�aluatian, the Ecanomic and Community Dev�lapmenf Depar�ment may present th� applicafion to t�e City Cauncil's Ecnnomic De�elopm�nt Committee. Should the Economic and Communiiy Development Department present the applicatian to the Ecanomic Deve{opment Committee, the Committee wilf consider the •applicafion at an open meeting. The Committee may: (a} Apprave the ap�lication. StafF will then incorporate fhe application into a tax abatemer�t agreement which wil[ be sent to the Cify Council with t�e Commit�ee's recommendation to approve the agreement; or {b) Requesf modifications to the a�plicatian. Ecnnomic and Community Development Department staff will discuss the suggested modificatiar�s with the applicant and then, if the requested modifiicatians are made, resubmit the modified application to the Committee for consideration; or (c) Deny the appEication. The appficant may appea! the Commii�ee`s fnding by request[ng the City Council to: (a} disregard the Committee's fnding and (b} instruct ciiy staff ta incorporate the application inta a tax abatemen# agreement for future consideration by the �iiy Ca�ncil. {3} Consideraiion !�y the C[ty Cauncil The City Council retains sole authority to appro�e or c{eny any tax abatement agreemenf and is under na ° obligation to appro�e any tax abatement application ar iax abatement agreement. The City of Fo� Worth is under no obligation to provide tax abatement in any amount ar value ta any applicant. c. Effecti�e Date for Approved Agreements All tax abatemer�ts ap�roved by #he City Cauncil will become effecfi�e on January 1 of t�e year following the year in which a Certifcafe of Occupancy (CO) is issued for the quafifying development project (unless otherwise specified in the tax abatemeni agreement). Unless otherwise specified in the agreement, taxes levied during the cor�strucfio� of the proj�ct shail be due and payable. 3. D�velopment Fee Waivers a. For certified applications of developmeni fee waivers that do not require Cauncil approval, th� Develapment Department wi[1 review the c�rtified applicar�t's application and grant appropr�afe incer�tives. b. �or certifed apPiications of developmenf fee waive�s that require Cnuncil approval, City staff will review the certified applicant's application and make appra�riate recommendatians #o the City Council. �, impact Fee Waiver a. For certified ap�lications of impact fee wa�vers that do not requ[re CounciE approva�, the Water Deparkmertt will revEew fhe certified applicant's application and granf appropriate incentives. 14 b. For certified applications of impact fee wai�ers that req�ire Council approval, fhe Water Department wiil ravisw the certified applicant's application and make appropriate recammendations to fhe City Council. 5. Release of City Liens For certified appEications of release of City liens, the Hausing Department will release ihe appropriate liens. Vil. OTb�R RUL�S F'Ef�TA[NING 70 PROP�RTY i"AX A�ATEMENi �. ��c,���u�� If the terms of fhe tax abatement agreernent are not met, tF�e City Council has the right to cancei or amend the abafement agreement. In the event of cancel[ation, the r�capture of abated taxes shall be limited fo the year{s} in w�ich the cEefauft occurred ar continued. �. 1NS��CiIOf� AND �IN/�NCIAL V�RIF[CAiI�fV FOR MIJLTI-I�A81lILY, GOIV�IViER���►�1 �iVDl15TRIAL, COMMUfVIiY FACILITI�S ARl�? iVIIX���US� D�V��OPf9AENi PROJEC75 The terms of fhe agresment shall include the Ciiy of Fort Warth's righf to: �1 } review and �erify the applicant's .financial statements in each year during the life of the agreement prior to grani�ng a tax abat�ment in any given year, (2) canduct an on site inspection of the project in_each year d�ring the life of the abatement to �erify compliance wfth the terms of the tax abatement agreement. C. �VA�UAiIOiV FOR flllUl�TI-�AIViI�Y, CON➢IIA€RCIALI [Al�}USYRIA�, CONYIV�UlViiY �'.�1CILi�'f�S �#ND M[X�peUS� ��V�LO�M�IV� PROJ�CiS Upan. completion af constructi�n af #f�e facilities, the Gity shall na iess than annualfy evaluate each project receiving abatement ta insur� compliance with the� terms of the agreem�nt. Any incid�nts of r�an-compliance will be reparted to the City Council. Or� or hefore February 1st of every year during �f�� li�e of the agreemenf, any individual or en�ity rec�iving a tax abatemen� from fihe City of �or� War�h shall prov➢de infarmation and documentation which detaiEs the praper�y owner's compliance with the terms afi the respecti�e agre�ment and shall ceriify that tf�e owner is in comp�iance with each applicable ierm af fihe agreerrtent. Failure to r�pori this information and #a provide the required certifica�ion by the above deadfine shall resul� in cancellafion of agre�meni and any taxes abated in fihe prior year being due and payable. D. �FFECT O� SALE, ASSfGAIiUIEh�T OR L�ASI� �� PROPERTY If a property i� the NEZ on which tax is being abated is sold, the new owner may en#er into a tax abatement agreement on the property for fF�e rema�ning term. Any sal�, assignment or lease of the property which is not permitted in th� tax abatement agreemenf results in cancellaf�on of the agreement and recapture of any taxes abated after the date on which an unspecified assignment oecurred. �F'! VI�I. O'fHER INC�N�IV�S A. Plan reviews af proposed development prajects in the NEZ will be expedited by the De�elopment Depar�ment. � �. The Cify Councii may add the foflowing incenti�es to a N�Z in the Resolution adopt�ng the NEZ: �. Municipal sales fa�c refund 2. Homebuyers assistance 3. Gap financing 4. Land assembly 5. Canveyance of tax fareclosure properties 6. Infrasfiructure impravernents 7. Support for Low fncome Housing Tax Credit (LIHTC} applicafions 8. Land use incenii�es and zoning/building code exemptions, e.g., mixed-use, density bonus, parking exemption 9. Tax Increment Financing (TIF) 10. Public Impro�ement District (PID} 19. Tax-exempt bond f9nancing 12. New Model Blacks 13. Loan guarantees 1�4. Equity investmenfs �5. Other incentives fhat wil! effectuate the intent and purposes Qf NEZ. 16 Exhibit B . 3137 €astcrest Court Lot 1, �loc�c 2 Eastcrest Additian Exhibit C Praject Description Sing�e Family Residence 90% �rick Veneer 1500-i 900 square feet 3 Bedroomsl2 Baths Two car garages Arched Windows at �ront af House Front Yard Landscaped Microwave with built-in Vent-A-Hood Wood Burning Fire Place Built-in 5ecurity System � Computer Area with CPU & Pri�ter with a dedicated telephone line �Iaulted Ceili�tg in Master Bedroom and Li�ing Room French Qoors Se�arate Tub/Shower in Master Bathroom Garden T�b in Mater Bathroom - . �a�.T�oRTx � Applica�ion No. �� � � ! U �� CITY C�� FOR�' '�i�VOR�'H � N�ZGHBORHOOD EN.�PO'WE�ENT ZONE {NE2) PR�+G�tA� PR4JECT CERT�`ICATION APPLYCATION � � FURl� B FOR Il`1VEST4R �"WNERS {SINGL� FAMI�,Y ONLY} _ I. APPLICATTON CHECK LIST Please s�bra�t tkle �olIowing docur.nentation with each property requested: � A completsd `appl�cat�on;fo'rrh �: ;` �, ���.'� y;� `` . ,�:-[]_ A�ist af�all�.pxap�rties owned/.by the applicarit in Fort Warth :, � _ �. . _- (� A�plicatian fee af $'2�;�7b (for tax abatement applicatior�s'onIy� ❑ Proof of ownexship, such as a warrar�ty deed, affidavit of heirsk�ip, or a probated will OR evid�nce of szte�control, such.as option ta l�uy - � � ❑ '�i�1e ab$tract�o�the properiy (optinnal). � � � �'ox Rehabilifation Pi`oiects Onlv: . � �❑ �'or a praject in tlze planning stage, please submit a comnleted set of Rehabilitatian ' ,� �'fRemodel� Plan and a�is� af eli�ble rehab.ilifatiori costs*:�(for app2icatioas o�tax ��- abateznents and development fee vyaivers for rehab projects oz��y} ❑ Qnce a project is cc�mpleted, please subnait proof of �the eligible rehabilita.tion casts* such as invoices, contracts, or receipts. (for applicatioz�s of tax al�atements ouIy) * Eiigible rehabilitati�z� incZudes onl� physical improve�nents to real property. It does N�OT inolude personaI property such as fuznilure, apptiances, equipment, ancllor supplies. Tatal e3igible xehabi�itation casts shall equal to or e�ceeed 30°Jo of i�c Tarrant County Appraisal Aistrict {TAD) , agpraised value of the� structura duzing the yeai rehabilitation occurs. - , _. � a ..7 . 1. �.pp�ica�f: 2. Canta�ct Person: ��-��& �.��vst� F��dR�����T��,v ��G�f� C.�6� 3. Address: �� ��,�.�.�G !� ifl� . Street ity. State. Zip � �. Phone no.: �t� � f�7f-i�l,3" . 5. Fax No.. �17 �f �3� .y�. II. Apprcant / AG�NT TNF�ItMATiCiN —� - — — � 5. Emaxl: ('.�y����%�1,��'����.'TY.t1S 7. Agen�t (if �.ny) - - S: Addressc . Sfreet 9. Phane na: ." � � � �1. Emai�: City State Zip 10. Fa� Na.: � If ynu nead further infoz-znatian or clariizcati4n, �lease contact Chun-I Lu at {81'�) 8�X-7381 ar Bea Cura at (81'�) 871-8036. `_.,. _- 1 � � FORT �ORTH � IlI. PROFERTY ELIG�TL,ITY 1. Please Iist down �he addresses and ]eg�I descript�ons of the pro�erfy where you are applying for �'EZ incentives and othsr properties you own i� Fort Warth. Attach me#es and bounds description ii no address or legal descriptio.n is available. Tabie ]. Property Ownershzp Address �ip + Legal Descrip�ion � � • C4�� Subclivaisian Lo# No. � Blocls No. I ' (Projeci Lacation} � • ' I � � � I-��� . ��� �, - ,� � .: . I � - � � I � � �� ! � _ _ � ����°���� �� - i�.��� � � - � � - � � I - I - -I - . -, I I -- I - I - . - - -I - j {Please attach adciitional sheets ofpaper as needed.) • ��. For �each properties listed itt Tabl�� 1; please cheek f�e boxes belaw ta iniifca�te if: o�b ere are tax�s due; or jl� �D � th�re are City liens; ar � p o yau have been subj�ect to a 33uilding Standards Commission's Order of Demolitian where the propezly was demolzshed within tke lasi five years, �� Tab1e 2 Property Ta�ces and Ci� L�ens . , A;ddress ' Property City Liens on Paroperiy •_ _ . .� �. -� � ��>_: 'a° iaxeS , -=R?eed � Bna�d-up/Open .�..Demolifion�� �'aving -" ", . ` -` � �Y_ � Due " • x:,iens "S�ucfiuz-e Liens •� Lien�s : :- Liens . I�.:` � I . ❑ - � .� I - . � --- I ❑ , - ❑ � � � -:.� � �,. . _ � � . i - : 0. �-.: ��C7; : ` C7;. - j . :t�� . — ❑ — � , ; . _ . _.,�, -`.;� �_,:-_ _ . . a - _ � - ❑ - _ o .. .❑= o.--�o� ��� ❑ - i � � I .I-❑-�0�- C� --I C7 .-❑ I . . , � � ❑ _I. � —.s �I_ .y C� . � ❑ � . � � .,.,���.�.�� �:.} .o � o I � ❑-, ❑ - 0 � ❑ I o - .(,p�ease attaeh additional shee#s of paper as needed.) II �. Do you own other properties u�nder ather names? ❑ Yes �,,No Zf Yes, please speci�� . .� Qr.der of �. Demolition� ❑ . ❑ _ ❑�- ❑ �I 0 � o �I - ❑ - � Q � 4. Does the proposed develo�ment con%rm vvith City af Fort �'4'orth Zoning? �0 Yes ❑ No �� 5. Zs this property under a cantract for deed? [] Yes �No 2 � f �ORT�ORTH 6. Has the c�nstxuc#ion an the prop�rty �een campleted or is it in the planning stage? W�taf type vf constt�uctian? , ❑ Cvnst�-�ction Ca�nnleted f�l Clz�der Constructzon, �C In �lannin� Sta�e ❑ New Constructzon � Rehab ❑ New Canstructivn [] Rehab �New Const�ciion [] Rehab 7. If the constr�c�i�n on the property has been camgleied when this a�plication is submitted, whexi was tb.e work donc? 8. - I�f it is a rehab property, does (or will) the rehabilitation work* done on �he proper�y equaI tQ at least 30°l0 of the Tarrant Co�n�y Appraisal Dist3ri�ct (TAD) assessed value of ihe strnctur� during the ye�r rehabiIitation (remodeled) occurred? ❑ Yes ❑ No *Only physical unprovements to real propez�ty is eIigible. DO NUT include� pexs�onal properiy st�ch as fiirniture, agpliances, equipment; �ndlor supp�ies. IV._� . u.., �TC�NTNES � —� — — — . . . � - 4 L What°incentives are yon apPl3'ing for?, � ' • . . � _ . � . f� M�nicinal Pronertv Tax Abafeme�ts �� �� - DeveIopment Fee Waivers �' All building pez�mit re�ated fe�s (incluc�i�g Plans Review and Inspectians) � Haw much is your tatal developz�ent costs? $.�� ��%, fuf � � How nauch is the tota� square footage of your proj ect2 ����J squaire feet � Plat application. fee (including concept plan, prelirninary plat, fina� plat, short farm replat) � Board of Adjust�ent a�pp�ica#�on fee ❑ Dernolition fee � � [] Strucfuz�e maving fee � . .. . � CommunityFacili�ies.Agr�ennsn#.(CFA) agplication:f.ee... _ -.. _ _ _. �. . .. � �ozxing appliaatian fe�e � � � � � - . . . . � Street ax�d utilzty easernent ' Imnac# Fee Waivers � Impact fee waiver f� . � Meter Size ,��t�, How many �neters? t� , � , ReXease of Citv Lie�ns ❑ Weed liens ❑ � Baard up/open structure ]iens, " [] � Derrioli�.on Iiens � .❑ �aving liens � � 3 FORT V�ORTH ` V. ACI�VOWLEDGMENTS ' —' — — — — — — — I hereby certify i�at the information provided is tnie and accurate to the best of my know�edge, I hereby ackriawledge �hat I have recei�ed a copy ofNEZ Basic Tncentives, wh�ch governs the gxantin� oftax abaternents, fee�waivers and xelease of City liens, and that any 'uTOLATION of tbe �eznis af �the NEZ Basic Inc�ntives or MISREPRESENTATIOIV sha1I constitute grouzads fox rej ection af an applica�ion ax termination of incentives at t�e discretion o;Fthe City. � � I r�nderstand that the approvaI of fee waivars and other incentives shaIZ not be deerned to be apprava� of any aspect of the p.roj ect. I unders�tand thaf I am responsible in obtaining required permits and inspections from the City arad in er�suzing the projeGt is located in the correct zoning aistrict. I agree to provide any additional information for determzning eligibiliiy as requested by the Crty. �" flFGrf/��p �'�r+1 7 �/7 JT'•�J�r �^�� �� 4�s ' {TYPED NAME) � `�� _ � ���t {AUT 4RIZ�D SIGNATURE) A'Z`E} �i� �•-; � . - - - -, ,�__ , �'len4t ��:��I, 1:i� ��r �rt�:�il �• - , _ ,�-.��_ � _ .� • �_�:., . o�r ����alic,�liun �cr: � - � C'it�' o�` I'c�rt 1�'u�-�1M. 1�riK�sirt� 1}���irt�r��t�rt ���L±�I -.C��t�r►c�ftn�ut•r��u �tr`rct. �'�t�•r �1�'c�rt�i, -f �xas 7�>i{M? � . f�lij �;'i,73��#{ _� � , _ _ Lu�;if��ei.i'��r�t-xr��Mt•ll�.tx.irs EZ�ctxonic vers�on of this form is available hy request. P1eas� ca11817-871-7381 to request~a cop . Y For Office Use Only ' ^ — -' -- -' — - � Application No.. SSC-� �} (} �' In which NEZ� , •� � �ii'� Can%rm with�Zoni.r�g2 '°�.Yes� �No TAD ID ' � •� Can:tract for d.eed7 . ❑ Yes . . • � � .[] No T�pe? j�].Nevv construction ❑ 4Reh�.b Constrz�etion, anmpletion date? � Before NEZ [k�.,Aftex NEZ Ownershi Rehab at or higher than 30%? • p � Y�� 0 No ❑ x'e� ❑ No Consistent with tkie NEZ pXan? � Yes ,�] N�� Tax current on this.propertY? � Yes ❑ Nn Tax cu'rrent a�i other properti�s? �t'] yes � 0 No .' _ City iiens on t�iis pro pe r l y? City liens �an otlzer properties? � Weed liens ❑ Yes � No � �r��� �ens ❑ Yes � No � Board-up/open structtue liens ❑ Yes � No � Bo�.�..up/���� 5���.� liens . a Dezxzolit�an liens 0�'�S � No ❑ Yes Q No . DemoIition Ziens ❑ Yes �/] No � Paving Iiens ❑ Yes � No . Paving Ziens ,� � Order of demalition ❑ �'e� � No � �'�S � N� � Order of demolitian � Certifed7 ❑ �'es � No ❑ Yes ❑ No Certificd by . Date certiizcaiian issued7 ����1� � �not cartifed, reason � j � � Referred to; ❑Economic DeveIopment []Housing [�jDevelo nnent - - , _ , _ - - _, __, _ p _ [�,Water -OCode �TPW � Revised August 23, ��01 � � 4 City of 1�'nrt Wo�th, 7'exas N[ayor anol Gounc�� Gommunic��tio� DATE REFERENCE NUMB�R j LOG NAME 91� OIO2 Co'9 923� [�Fy�l*� PRG� af 3 � sua.�ECT AUTHORIZATION TO ENTER 1NT0 TAX ABATEMENT AGRE�MENTS W�TH THE FORT WORTH H�U51NG FINANCE CORf'�RATION FOR THE DEWELOPMENT �F SIXTEEN SINGLE-FAMILY HOMES F�R THE EASTCR�ST SIJBD[VI51DN LOCATED IN THE STOP SIX NEIGHBDRHOOD EMPOWERMENT ZONE � RECOMMENDATI�N: - � It is recommended that the C�ity Council; �. Ap�rove the Fort Wart� Housing Finance Car�orati�n (FWHFC) application for Municipal Property Tax Abateme�t for the Eastcrest Subdivisian; and � 2. Find that the statements set forti� in t�e recitals of tF�e attach�d Tax Abateme�t Agreements (the Agreements) with FWHFC are true and carrect, and � . 3. Authorize ihe City Manager to enter in#a fiax abatement agreemenis with'FWHFC for the devefopmeni af sixteen single-family homes in the Eastcrest 5ubdi�ision located in the Stap Six Neighborhoad Empowerment Zone {NEZ), in accordance with th� NEZ Basic Incenti�es. DISCUS510N: The FWHFC is the d���loperlowner af the Eas#cr�st Su�bdivisEan in the 4700 Block of East Berry Street anci Easicresi Court located in NEZ No. 1�: � ` � The FWHFC applied for municipa! pro�erty tax abateme�t under the NEZ Basic lncenti�es (M&C G- 13208R dated June 5, 2002, M&C G-1358(} dated April 2, 2Q02, as amended, and M&C G�1�fifi2R �ated Ju[y 23, 2Qa2, as amende�). The Housing Department t�as reviewed the application ar�d certified that the praparty meets the eligibility crite�ia to receive NEZ mUnicipal properky iax abatement, T�e NEZ Basic lr�centiues off�rs a fiv�-year municipa� property tax abatement of the increased value of impro�ements to a developerlowner af any new home constr�cted�within a NEZ. � �pon execution of th� Agreements, the total assess�d �alue of each home in the Eastcrest 5ubdivis'ton used for cafcuiating municipal pro��rty tax will be frozen for a fve-year periad, starting on January 1, af the year fallowing.the year in which the home is •sald, at the pre-9mpro�em�nt value o# each lot as defiried hy ihe Tarrant Ap�raisal District (TAD) an January 1, 2�02, as follows: � Pre-Improvement TAD Va[ue af lmprovements $ -0- a. Pre-Improvement TAD Value af L.and $1,000'per !ot � Total Pre-Improvement TA❑ Value $�,Q00 per loi City of Fo�t Worth, Texas M��or and Gour�cil Commu�ica�ior� C}ATE REFERENC� NUMBER. LOG NAME PAGE 91101Q2 , C-'I9�35 , 05NEZ �_ 2 of 3 sua�ECT AUTHORIZATION TO ENT.ER 1NT0 TAX ABATEMENT AGREEMENTS WITH TH� FORT WORTH HOUSING FINANCE CO�RPORATION �OR THE DEVELOPMENT OF SlXTEEN 5lNGLE-FAMILY HOMES FOR THE EASTCREST SUBD1VfSION LOCATED IN THE STOP 51X NEIGHBORHOOD EMPOWERMENT Z�NE AcEdress 31 QO Eastcrest Caurt �901 Eastcrest Caurt 3104 Eastcrest Cour� 3105 Eastcr�st Court 3'108 Eastcrest Court 31 Q9 Eastcrest Court 3112 Eastcrest Court 3i 13 Eastcrest Cour� 31'16 Eastcrest Court 312� Eastcrest Court 3124 Eastcrest Court 3128 Eastcrest Court 3132 Eastcresi Caurt 3133 Eastcrest Court 3136 Eastcrest Cour� 3137 Eastcrest Court Leqal Description Lot 10, Bfocl� 1, Eastcrest Addition Lot B, Block 2, Eastcrest Additian � Lot 9, Biock 1, Eastcrest Add�tion Lat 5, Bloef� 2, Eas#cr�st Addition Lot 8, Black 1., Eastcrest Addition Lat �4, Bfock 2, Eastcrest Addition Lot 7, Blocf� 1, Eastcrest Addition �ot 3, Block 2, Eastcrest Addi#ian Lot 6, B{ack� 1, Eastcrest Additio� Lot 5, Blocl� �, Eastcrest Addi�ian Lot 4, Block 1, Eastcrest Additio� Lot3, B{ock 1, EastcrestAddition Lot 2, Block 1, Eastcrest Addition Lot 2, Block 2, Eastcrest Ad�ition Lot 1, Biack 1, Eastcrest Addition Lot 1, B�ock 2, Eastcrest Addi#ian �WHFC expec�s ta complete construcfion on or before June 30, 20D3, and sel� the sixteen homes to new orrvners. L1pon ttie sale of each home by FWHFC, the Housing Department sfaff wi{1 p�esent the proposed ass�ssment of th� tax abateme�t agreemenis to the City Cvu�cil for appraval if the new ow�er meets a�l efigi�le criter9a as stated'in�#he NEZ Basic lncentives. FWHFC will invest $1,600,Oa0 to construct si�cteen single-family homes ir� the Eastcrest 5ubdivisian.. The location of the praposed developmer�t, .typical e��vation, and project description are attach�d to this Mayor and Councif Communication. The m�cnicipal property tax on the improved value is estimated at $558 per house per year or a total of $44,64Q over the fiive-year period. � 4n August 13, 2D02,� the above proposal was endorsed �y the Economic and Community Development Committee fior City Counc9l appraval. The Eastcrest Subdivision is located in COUNCI�.DISTRICT 5. City of Fort T�'o�th, �T'exas M�yor and Cour�cil Commun�_catsa� __ DAT� R�FERENC� NUM��R LOG NAME PAGE ' � 9I10102 ��'19�3� 05�lEZ �-- -- 3 of 3 .._ 1 -- suBa�c�' . AUTHORiZATION T� ENTER iNTO TAX ABATEMENT AGREEMENTS W1TH 7HE FORT WURTH HOUSING FINANCE CORPORATlON FOR THE pEVELOPMENT (�F � ' SlXTEEN 51NGL.E-FAMlLY HOMES F�R THE EASTCREST SUBDlV1S1DN LOCATED iN THE STOP SiX NEiGHBORHO�Q EMPOWERMENT ZC?NE �'ISCAL. INF�RMATIONICERTi�{CAiION: � The Finance Directar certifies that�this action wifl have no materiaE effect o� City funds. RR:n Submitted for City Ms►�nager's Of�ice by; Raid Rectar Originatiag Dep�rtment Head: Jerome Walker Additionaj Information Contaci: i .Terome Walker � ' FUND I ACCOUNT � CENTE�i � AMOUNT � �to� � � � b140 j y � I � � � 7537 � (from) � � � 7537 � CITY SECRETARY � 4 APPROVED 09l10/02 I � � �