HomeMy WebLinkAboutIR 7026 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 7026
p.
-I T I 141O
4,6 S P? To the Mayor and Members of the City Council June 4, 1985
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Subject: FORMATION OF AN INDUSTRIAL DEVELOPMENT
,all CORPORATION
Introduction
During the Pre-Council meeting on May 28, 1985, the City Council
instructed the staff to proceed with the formation of an industrial
development corporation. The two major issues left unresolved were:
1. The name of the corporation; and,
2. The eligibility area.
The City Council indicated a desire to delete "Fort Worth" from the name
of the corporation. Staff considered several alternate names - i.e.
Sunbelt, Longhorn, and West Fork. The one recommended is the "Sunbelt
Industrial Development Corporation." The City Council may wish to
suggest some other name.
The policy decision about the service area can be resolved during, or
after, the first organizational meeting. Language can be included in
the by-laws and the bond procedures to reflect the Council 's decision.
The City Council will be able to change the service area designation at
any time by amending these documents in the prescribed manner.
McCall , Parkhurst & Horton has agreed to prepare all of the necessary
paperwork to form the corporation. The documents will be available for
approval by the City Council on the June 11, 1985, agenda.
The following sequential steps will be necessary:
1. File a request with the City Secretary to create an industrial
development corporation, along with the articles of
incorporation.
2. The City Council passes a resolution approving the creation of
the corporation.
3. File the articles of incorporation with the Secretary of State.
4. Receive a certificate from the Secretary of State acknowledging
that the articles have been filed and that the corporation is
in existence.
5. Hold first organizational meeting to:
a. Approve the by-laws
b. Appoint the officers of the Board of Directors
C. Determine the service area
d. Approve the fee schedule and bond procedures
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS
INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 7026 - -9-2
June 4, 1985
0 To the Mayor and Members of the City Council
0
X
Subject: FORMATION OF AN INDUSTRIAL DEVELOPMENT
toil CORPORATION
During the May 28, 1985 meeting, a question was raised about the use of
tax increment financing in some areas. The City's financial advisor,
First Southwest, indicates that the major problem with this program
would be the inability to obtain tax breaks for a business from the
County, Fort Worth Independent School District, the Hospital District
and Tarrant County Junior College. In addition, the City Attorney
advises that a suit presently is pending in El Paso where a school
district has challenged the City's authority to issue a tax break and
force the district to forego revenue. Unless all entities involved are
in agreement, the overall effect of a tax break would be minimized.
If you have additional questions , please advise.
&�Douglas Harman
City Manager
DH:kcnn
ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS