HomeMy WebLinkAboutOrdinance 15666Ordinance No.
AN ORDINANCE INCREASING ESTIMATED RECEIPTS AND
APPROPRIATIONS GRANTS AMOUNT #
$13,000,000.00, SUBJECT TO RECEIPT OF # is LOAN FROM
THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT, FOR
THE PURPOSE OF E MONTGOMERY PLAZA SHOPPING
CENTER PROJECT; MAKING ORDINANCE + OF PRIOR
DATE. ORDINANCES IN CONFLICT HEREWITH; AND PROVIDING AN EFFECTIVE
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FORT WORTI
SECTION 1.
That in addition to those amounts allocated to the various City departments for Fiscal Year 2002-
2003 in the Budget of the City Manager, there shall also be increased estimated receipts and
appropriations in the Grants Fund in the amount of $13,000,000.00, subject to receipt of the Section
108 loan from the U.S. Department of Housing and Urban Development, for the purpose of funding
the Montgomery Plaza Shopping Center Project.
SECTION 2.
That should any portion, section or part of a section of this ordinance be declared invalid,
inoperative or void for any reason by a court of competent jurisdiction, such decision, opinion or
judgment shall in no way impair the remaining portions, sections, or parts of sections of this
ordinance, which said remaining provisions shall be and remain in full force and effect.
SECTION 3.
That this ordinance shall be cumulative of Ordinance No. 15184 and all other ordinances and
appropriations amending the same except in those instances where the provisions of this ordinance
are in direct conflict with such other ordinances and appropriations, in which instance said
conflicting provisions of said prior ordinances and appropriations are hereby expressly repealed.
SECTION 4.
This ordinance shall take effect upon adoption.
APPR D ATO FORM AND LEGALITY:
A istan ity Attorney
ADOPTED AND EFFECTIVE.
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City of Fort Worth, Texas
IV 10avor and Council Communication
DATE REFERENCE NUMBER LOG NAME
,�tVf�§tb It PAGE
9/2/03 G-1 4054 17AMENDBEDI I I
I I 1 1, 2 of 3
•SUBMISSION OF A DED dkbWi4F`lELD _oNbMitAdffVffL_O_P_MENT INITIATIVE
GRANT APPLICATION AND APPLICATION FOR SECTION 108 LOAN GUARANTEE
TO THE U.S. DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT FOR THE
MONTGOMERY PLAZA SHOPPING CENTEk
On May 22, 2001, the City Council authorized the application for a BEDI grant in the amount of
$2,000,000 from HUD for development of the former Montgomery Wards warehouse complex. On
September 28, 2001, HUD awarded the City the BEDI grant subject to the approval of Section 108 loan
guarantees in the amount of not less than $13,000,000 in guaranteed loan authority under the HUD
Section 108 Loan Program. Due to four failed attempts to secure a viable development partnership, the
City has sought and obtained four extensions from the HUD. The fourth (and final) extension deadline
is September 3, 2003.
A development team, led by Weber and Company (Dallas, TX), has requested the use of the
$2,000,000 in BEDI grant previously awarded by the HUD for the Montgomery Wards site and
$13,000,000 in Section 108 loan guarantees. The proposal seeks to leverage a $110,000,000
investment in a mixed-use retail and residential development that preserves the historic Montgomery
Ward catalogue building. The deadline for submitting an amended BEDI grant and Section 108
application for the redevelopment of the property is no later than September 3, 2003.
On July 29, 2003, in accordance with HUD regulations, the proposed application contents were
published in the Fort Worth Star-Telegram to afford the public an opportunity to examine the application
and to provide comments on the proposed application. This publication opens the public comment
period for 30 days. The comment period allows for citizen comments on the proposal to change the
City's 2003 Consolidated Plan and tfie'state C6r6 m `6` n it' b '` �1
_y_,eye,opm
_en ,P,,1ro m
9 ra to include the activities
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and funding proposed by the Montgomery Park Business Center project. Additionally, three public
hearings are scheduled for August 12, 2003, August 26, 2003, and September 2, 2003, during the
regular City Council meeting. The public comment period will end August 27, 2003, and the City
Council may take action to adopt the recommendations contained herein as early as September 2,
2003.
Upon approval • this Mayor and Council Communication, it is the intent • City staff to submit the
application forms required for receipt of this BEDI grant. Submission of this application, or the actual
receipt by, the City of an award notice of BEDI funds, would not compel the City to apply for or to borrow
HUD Section 108 loan funds. Authorization from the City Council to apply for or to borrow HUD 108
financing would be requested separately at a future date and upon receiving HUD approval,
Based on information now available, the submission of this application will not have a fiscal impact on
the City's General Fund. This BED[ grant does not require a local match. If the application is awarded
by HUD, staff will present to the City Council a proposed loan agreement and economic development
agreement for the project.
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