HomeMy WebLinkAboutOrdinance 15464ORDINANCE NO. I ~ ~ ~ T
AN ORDINANCE APPROVING AN AMENDED PROJECT ANI)
FINANCING PLAN FOR TAX INCREMENT REINVESTMENT
ZONE NUMBER THREE, CITY OF FORT WORTH, TEXAS
(DOWNTOWN TIF); MAIHNG VARIOUS FINDINGS RELATED TO
SUCI3 AMENDED PLAN; PROVIDING FOR SEVERABILITY; AND
PROVIDING AN EFFECTIVE DATE.
WHEREAS, as authorized by Chapter 311 of the Texas Tax Code (the "Act") and
pursuant to Ordinance No. 12324, adopted by the City Council of the City of Fort Worth,
Texas (the "City") on December 19, 1995, the City created Tax Increment Reinvestment
Zone Number Three, City of Fort Worth, Texas, as previously enlarged by Ordinance No.
14795, adopted on October 2, 2001, and Ordinance No. 14$39, adopted on October 30,
2001, and as previously reduced by Ordinance No. 15317, adopted on November 5, 2002,
and Ordinance No. (the "Zone"); and
WHEREAS, on September 17, 1998 the board of directors of the Zone (the
"Board") adopted a project and financing plan for the Zone (the "Plan"), as required by
Section 311.011(a) of the Act; and
WHEREAS, in accordance with Section 311.011(d) of the Act, on October 6, 1998
the City Council approved the Plan pursuant to Ordinance No. 13603; and
WHEREAS, as authorized by Section 311.011(e) of the Act, on February 17, 2003,
and pursuant to Board Resolution 2003-01, the Board amended Chapter I of the Plan to add
environmental remediation of public or private land or buildings as an authorized project of
the Board under the Plan, as depicted in the underlined language of Exhibit "A", and
recommended that the Plan, as amended, be approved by the City Council;
Page 1
Ordinance Approving an Amendment to the Project Plan for
Tax Increment Reinvestment Zone Number Three, City of Fort Worth, Texas
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF FORT WORTH, TEXAS:
Section 1.
FINDINGS.
That the City Council hereby makes the following findings of fact:
1.1. The statements and facts set forth in the recitals of this Ordinance are true and
correct.
1.2. That the Plan, as amended, includes all information required by Sections 311.011(b)
and (c) of the Act.
1.3. That the Plan, as amended, is feasible and the amended and restated project plan
conforms to the City's master plan.
1.4. That consistent with Section 311.011(e) of the Act, a public hearing is not required
prior to the adoption of this Ordinance because the Plan, as amended, does not (i)
reduce or increase the geographic area of the Zone; (ii) increase the tax increment
to be contributed by a taxing unit; (iii) increase the total estimated project costs; or
(iv) designate additional property in the Zone to be acquired by the City.
Section 2.
APPROVAL OF AMENDED PLAN.
That based on the findings set forth in Section 1 of this Ordinance, the Plan, as
amended by the addition of the underlined language in Exhibit "A", is hereby approved.
Page 2
Ordinance Approving an Amendment to the Project Plan for
Tax Increment Reinvestment Zone Number Three, City of Fort Worth, Texas
Section 3.
DELIVERY OF AMENDED PLANS TO TAXING ENTITIES.
That Downtown Fort Worth, Inc, the administrator of the Downtown TIF, is hereby
directed to provide a copy of the Plan, as amended, to the governing body of each taxing unit
that taxes real property located in the Zone.
Section 4.
SEVEI2ABILITY.
That if any portion, section or part of a section of this Ordinance is subsequently
declared invalid, inoperative or void for any reason by a court of competent jurisdiction,
the remaining portions, sections or parts of sections of this Ordinance shall be and remain
in full force and effect and shall not in any way be impaired or affected by such decision,
opinion or judgment.
Section 5.
EFFECTIVENESS.
That this Ordinance shall take effect and be in full force and effect from and after its
adoption.
AND IT IS SO ORDAINED.
ADOPTED AND EFFECTIVE: 2- ~ 2..'S"/°3
Page 3
Ordinance Approving an Amendment to the Project Plan for
Tax Increment Reinvestment Zone Number Three, City of Fort Worth, Texas
APPROVED AS TO FORM AND LEGALITY:
By:
Peter Vaky
Assistant City Attorney
Date: 2-2 5-P~3
M&c: G --~ I? q a ~-
Page 4
Ordinance Approving an Amendment to the Project Plan for
Tax Increment Reinvestment Zone Number Three, City of Fort Worth, Texas
Fort Worth Texas Reinvestment Zone Number Three
North Downtown Tax Increment Financing District
Ci°IAP7° 1 - Pl1RP®SE /~-IV® ~A~Gt~t®l1N®
TAX INCREMENT FINANCE DISTRICT (TIF)
RECOMMENDED IN THE 1993 DOWNTOWN STRATEGIC ACTION PLAN
The 1993 Downtown Strategic Action Plan was adopted by Downtown Fort
Worth, Inc., the Fort Worth City Council, and the Fort Worth Transportation
Authority, in the Fall of 1993. The same three agencies sponsored the plan. The
plan resulted from atwo-year planning process that involved substantial input
and review from citizens, government officials, and Downtown stakeholders.
Community leaders realized that Downtown is critical to the overall economic
health and image of greater Fort Worth.
The Downtown Plan envisioned that a TIF would be needed to finance several
major Downtown "infrastructure" and historic site projects, including:
® Public parking and the connecting systems (trolley and subway)
® Central Plaza and Parking Garage
® Special pedestrian and streetscape systems
® A Public Market
^ Street and utility adjustments associated with major projects
® TIF planning and administrative costs
® Historic Site rehabilitation costs
® Remediation of conditions that contaminate public or private land or
buildings in the TIF District.
The Plan recognized that this major public infrastructure would be needed in
order for Downtown to attract new investments. The costs of the required
infrastructure exceed the City's normal funding amounts and the improvements
are needed in advance of the outlet center, expansion of the Sundance retail
area, and construction of a major new Performing Arts Hall. Infrastructure, in the
form of parking facilities, pedestrian connections, subway system upgrades and
environmental remediation is critical to these short-term private investments.
TAX INCREMENT REINVESTMENT ZONE NUMBER THREE
(DOWNTOWN TIF DISTRICT)
ESTABLISHED IN DECEMBER 1995
The Tax Increment Reinvestment Zone Number Three (Downtown TIF) was
established by the Fort Worth City Council Ordinance No. 12324, on December
19, 1995. Prior to City Council approval, the Zone received support and
resolutions of intent to participate from other taxing entities, including the Fort
Worth Independent School District, Tarrant County, the Tarrant County Hospital
District, Tarrant County Junior College System, and the Tarrant County Water
Control District #1. The reinvestment zone was petitioned by over 50% of the
property owners under the provisions of Section 311.005(a)(5) Vernon's Tax
Code.
The zone took affect on January 1, 1996 and is scheduled to terminate on
December 31, 2025 (30 years), or at an earlier time designated by subsequent
ordinance of the City Council.
City of Fort Worth, Texas
Mayor and Council Communication
DATE REFERENCE NUMBER LOG NAME
2/25/03 G-13902 ~ ~ 170RD
1 of 2
SUBJECT ADOPTION OF ORDINANCE APPROVING AN AMENDMENT TO THE PROJECT AND
FINANCING PLAN FOR TAX INCREMENT REINVESTMENT ZONE NUMBER THREE,
CITY OF FORT WORTH, TEXAS (DOWNTOWN TIF)
RECOMMENDATION:
It is recommended that the City Council adopt the attached Ordinance that approves an amendment to
the Project and Financing Plan for the Downtown TIF.
DISCUSSION:
Under state law, before revenue of a tax increment reinvestment zone, or TIF,, can be used-for various
development projects within or for the benefit of the TIF, the TIF's Board. of Directors (Board) must
adopt a Project and Financing Plan (Plan) for the TIF. The Plan must set forth the projects that the
TIF's Board wishes to undertake in order to develop or redevelop property within the TIF. The TIF
Board cannot dedicate TIF revenue toward a project that is not outlined in the Plan.
On September 17, 1998, the Downtown TIF Board adopted a Plan for development and redevelopment
of property in the Downtown TIF. This Plan was approved.by the City Council on October 6, 1998
pursuant to .Ordinance No. 13603. Since that time,, the law governing the manner in which TIF
r' ~ revenues may be expended has broadened. Among other things, the law now allows a TIF Board to
(` dedicate TIF revenues toward the remediation of conditions that contaminate public or private land or
buildings.
On February 18, 2003, the City Council authorized the City Manager to execute a Tax Abatement
Agreement and an Economic Development Program Agreement with TLC Green Property Associates I,
L.P. (Developer) in regard to a proposed redevelopment of the former Bank One Tower (the Tower),
which is located in the Downtown TIF. One of the major obstacles toward redevelopment of the Tower
has been the fact that asbestos is currently in the building and an asbestos abatement program must
be instituted before the Tower can again be occupied.
The Downtown TIF Board has expressed an interest in entering into an agreement with the Developer
under which Downtown TIF revenue would be dedicated toward an asbestos abatement program for
the Tower. In order to undertake this project, the Downtown TIF's Plan must be amended. to include
environmental remediation programs. 'On February 17, 2003, the Downtown TIF Board amended its
Plan for this purpose. In order for that action to be effective, Section 311.011(e) of the Texas Tax Code
requires that the City Council approve the Plan, as amended, by ordinance. That specific amendment
to the Plan is reflected in the underlined language of Exhibit "A" of the attached Ordinance.
City of Fort Worth, Texas
Mayor and Council Communication
SATE
2/25/g3 REFERENCE NUMBER
G°13902 LOG NAME
170RD PAGE
~ of 2
SUBJECT ADOPTION OF ORDINANCE APPROVING AN AMENDMENT TO THE PROJECT AND
FINANCING PLAN FOR TAX INCREMENT REINVESTMENT ZONE NUMBER THREE,
CITY OF FORT WORTH, TEXAS DOWNTOWN TIF
FISCAL INFORMATION/CERTIFICATION:
The Finance Director certifies that this action will have no effect on City funds.
RR:k
Submitted for City Manager's FUND ACCOUNT CENTER AMOUNT CITY SECRETARY
Office by: (to)
Reid Rector 6140
Originating Department Head:
Tom Higgins 6192 (from) APPROVED 2/25/03
• ORD. #15464
Additional Information Contact:
Peter Vaky 7601