HomeMy WebLinkAboutOrdinance 15775RDINANCE NO. ~ ~~ ~~
O
AN ORDINANCE DESIGNATING A CERTAIN CONTIGUOUS
GEOGRAPHIC AREA IN THE CITY OF FORT WORTH AS "TAX
INCREMENT REINVESTMENT ZONE NUMBER EIGHT, CITY
OF FORT WORTH, TEXAS"; CREATING A BOARD OF
DIRECTORS FOR THE ZONE; PROVIDING THE EFFECTIVE
AND TERMINATION DATES FOR THE ZONE; ESTABLISHING
A TAX INCREMENT FUND FOR THE ZONE; AND
CONTAINING OTHER MATTERS RELATED TO THE ZONE.
WHEREAS, the City Council desires to promote the development of a certain
contiguous geographic area in the City, which is more specifically described in Exhibit
"A" of this Ordinance (the "Zone"), through the creation of a new reinvestment zone as
authorized by and in accordance with the Tax Increment Financing Act, codified at
Chapter 311 of the Texas Tax Code (the "Code"); and
WIiEREAS, on or about October 9, 2003 the City provided written notice to the
governing body of each taxing unit that levies real property taxes in the Zone of (i) the
City's intent to establish the Zone; (ii) a description of the boundaries of the Zone; (iii)
the City's tentative plans for development of the Zone; and (iv) an estimate of the general
impact of the Zone on property values and tax revenues; and
WHEREAS, the governing body of each county and school district that levies
real property taxes in the proposed Zone has waived the requirement imposed by Section
311.003(e) of the Code that the City provide such written notice at least sixty (60) days
prior to the date of the public hearing conducted pursuant to Section 311.003(c) of the
Code; and
Page I of 10
Ordinance Designating Tax Increment Reinvestment Zone Number Eight,
City of Fort Worth, Texas
WHEREAS, the City has prepared a preliminary financing plan for the Zone and
provided a copy of that plan to the governing body of each taxing unit that levies taxes on
real property in the Zone, as required by Section 311.003(b) of the Code; and
WHEREAS, in accordance with Section 311.003(f) of the Code, on November
11, 2003 the City made a single formal presentation to the governing body of each county
and school district that levies real property taxes in the Zone, as agreed to by such
governing bodies, which presentation, among other things, included (i) a description of
the proposed boundaries of the Zone; (ii) the City's tentative plans for development of the
Zone; and (iii) an estimate of the general impact of the Zone on property values and tax
revenues; and
WHEREAS, on December 2, 2003 and December 9, 2003 the City Council held
a public hearing regarding the creation of the Zone and .its benefits to the City and to
property in the Zone and afforded a reasonable opportunity for (i) all interested persons to
speak for or against the creation of the Zone, its boundaries or the concept of tax
increment financing and (ii) owners of real property in the Zone to protest inclusion of
their property in the Zone, as required by Sections 311.003(c) and (d) of the Code; and
WHEREAS, notice of the public hearing was published in a newspaper of
general circulation in the City on November 25, 2003, which satisfies the requirement of
Section 311.003(c) of the Code that publication of the notice occur not later than the
seventh day before the date of the public hearing;
NOW, THEREFORE, DE IT ORDAINED DY THE CITY COUNCIL OF
THE CITY OF FORT WORTH, TEXAS:
Page 2 of 10
Ordinance Designating Tax Increment Reinvestment Zone Number Eight,
City of Fort Worth, Texas
Section 1.
I+'INDINGS.
That after reviewing all information before it regarding the establishment of the
Zone and after conducting a public hearing regarding the creation of the Zone and its
benefits to the City and to property in the Zone and affording a reasonable opportunity
for (i) all interested persons to speak for or against the creation of the Zone, its
boundaries or the concept of tax increment fmancing and (ii) owners of real property in
the Zone to protest inclusion of their property in the Zone, 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. Therefore, the City has met the notice and procedural requirements
established by the Code for creation of a reinvestment zone under the Code.
1.2. Development of the Zone will not occur solely through private investment in the
foreseeable future.
1.3. Improvements in the Zone, including, but not limited to, those previously outlined
to the City Council and the governing bodies of all other taxing units that levy
real property taxes in the Zone, will significantly enhance the value of all the
taxable real property in the Zone and will be of general benefit to the City.
1.4. The area within the Zone is contiguous. Among other things, the area includes
that portion of Lancaster Avenue on the south side of the City's downtown that,
for many years, contained an unsightly freeway overpass that divided downtown
from the City's near south side; contributed to the deterioration of existing
Page 3 of I O
Ordinance Designating Tax Increment Reinvestment Zone Number Eight,
City of Fort Worth, Texas
improvements in the area, including several historic and landmark buildings; and
hampered new investment and development. Taking all facts into consideration,
the area within the Zone substantially impairs and arrests the sound growth of the
City and constitutes an economic liability and a menace to the public health and
safety because of (i) a substantial number of substandard, deteriorated and
deteriorating structures; (ii) the predominance of inadequate sidewalk and street
layouts; (iii) faulty lot layout in .relation to size, adequacy, accessibility and
usefulness; (iv) unsanitary and unsafe conditions; (v) the deterioration of site and
other improvements; and (vi) conditions that endanger life and property by fire or
other cause. Therefore, the area within the Zone meets the criteria for designation
of a reinvestment zone and satisfies the requirements of Section 311.005 of the
Code.
1.5. No more than ten percent (10%) or less of the property in the Zone is used
currently for residential purposes, as specified by Section 311.006 of the Code.
1.6. According to the most recent appraisal roll of the City, the total appraised value of
all taxable real property in the Zone and in existing reinvestment zones in the City
does not exceed fifteen percent (15%) of the total appraised value of taxable real
property in the City and in industrial districts created by the City, if any.
1.7. The Zone does not contain more than fifteen percent (15%) of the total appraised
value of real property taxable by any county or school district.
Page 4 of IO
Ordinance Designating Tax Increment Reinvestment Zone Number Eight,
City of Fort Worth, Texas
Section 2.
DESIGNATION OF ZONE.
That the City Council hereby designates the Zone described in the boundary
description and depicted in the map, both attached hereto as Exhibit "A" and made a part
of this Ordinance for all purposes, as a reinvestment zone pursuant to and in accordance
with the Code. This reinvestment zone shall be known as "Tax Increment Reinvestment
Zone Number Eight, City of Fort Worth, Texas."
Section 3.
ZONE BOARD OF DIRECTORS.
That a board of directors for the Zone ("Board") is hereby created. The Board
shall consist of eleven (11) members who shall serve for terms of two (2) years each. Of
these eleven (11) members, each taxing unit other than the City that levies taxes on real
property in the Zone may, but is not required to, appoint one (1) member to the Board.
After each taxing unit other than the City designates to the City either the name of the
member that the taxing unit wishes to appoint or the fact that the taxing unit wishes to
waive its right to appoint a member, the City Council shall appoint whatever number of
members are necessary to fill the remaining positions on the Board. Such members may
be members of the City Council.
Page 5 of I O
Ordinance Designating Tax Increment Reinvestment Zone Number Eight,
City of Fort Worth, Texas
Section 4.
TERM ®F ZONE.
That the Zone shall take effect upon the adoption of this Ordinance and terminate
on the earlier of (i) December 31, 2024 or an earlier termination date designated by an
ordinance adopted after the effective date of this Ordinance or (ii) the date on which all
project costs, tax increment bonds and interest on those bonds have been paid in full.
Section 5.
DETERMINATION ®F TAX INCREMENT BASE.
That the tax increment base for the Zone, as defined by Section 311.012(c) of the
Code, shall be the total appraised value of all real property in the Zone taxable by a
taxing unit for the year 2003, which is the year in which the Zone was designated as a
reinvestment zone.
Section 6.
TAX INCREMENT FUND.
That a tax increment fund for the Zone (the "TIF Fund") is hereby established.
The TIF Fund may be divided into additional accounts and sub-accounts authorized by
resolution or ordinance of the City Council. The TIF Fund shall consist of (i) the
percentage of the tax increment, as defined by Section 311.012(a) of the Code, that each
taxing unit which levies real property taxes in the Zone, other than the City, has elected to
dedicate to the TIF Fund under an agreement with the City authorized by Section
311.013(f) of the Code, plus (ii) one hundred percent (100%) of the City's tax increment,
Page 6 of I O
Ordinance Designating Tax Increment Reinvestment Zone Number Eight,
City of Fort Worth, Texas
as defined by Section 311.012(a) of the Code. The TIF Fund shall be maintained in an
account at the depository bank of the City and shall be secured in the manner prescribed
by law for Texas cities. In addition, all revenues from (i) the sale of any obligations
hereafter issued by the City and secured in whole or in part from the tax increments; (ii)
revenues from the sale of any property acquired as part of a tax increment financing plan
adopted by the Board; and (iii) other revenues dedicated to and used in the Zone shall be
deposited into the TIF Fund. TIF Funds will be used solely in accordance with Section
311.014 of the Code.
Section 7.
TAX INCIZEIVIENT AGI2EEIVIENTS.
That, pursuant to Sections 311.008 and 311.013 of the Code, the City Manager
and City Attorney are hereby authorized to execute and deliver, for and on behalf of the
City, tax increment agreements with taxing units that levy real property taxes in the Zone.
Section 8.
SEVERABILITY.
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.
Page 7 of 10
Ordinance Designating Tax Increment Reinvestment Zone Number Eight,
City of Fort Worth, Texas
Section 9.
That this Ordinance shall take effect and be in full force and effect from and after
its adoption.
AND I'I' IS S® ®RDAINEID.
ADOPTED AND EFFECTIVE: / Z- 0 `!- D3
APPROVED AS TO FORM AND LEGALITY:
By:
Peter Vaky
Assistant City Attorney
Date: /2 - D 9- 03
M&C: G -I ~I7'9
Page 8 of 10
Ordinance Designating Tax Increment Reinvestment Zone Number Eight,
City of Fort Worth, Texas
Exhibit "A"
l~l[ap and Boundary Description of the Zone
West ROW
line of
Henderson
ID
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South ROW West ROW
line of 3ra St. line of Burnett North ROW
1 t }. line of 7th St. ,
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'~ ''` ~. ~ ~~, ``_- line of 7 St. ~ ; ~;~ ti `i' ~~,- -
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North ROW line
of I-30 exit at
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Page 9 of 10
Ordinance Designating Tax Increment Reinvestment Zone Number Eight,
City of Fort Worth, Texas
Beginning at a point of the intersection of a projection of the west ROW line
of Henderson St and the south ROW line of 3rd St., thence
Northeasterly along the south ROW line of 3rd St. to a point where said line
intersects with the west ROW line of Burnett St., thence
Southeasterly along the west ROW of Burnett St. to a point where said line
intersects the north ROW line of 7th St., thence
Easterly along the north ROW line of 7th St. to a point where said line
intersects the north ROW line of 7th St., thence
Northeasterly along the north ROW line of 7th St. to a point where said line
intersects the east ROW line of Calhoun St., thence
Southeasterly along the east ROW line of Calhoun St. to a point where said
line intersects the north ROW line of Interstate 30, thence
Westerly along the north ROW line to a point where said line intersects the
north ROW line of the Interstate 30 exit at Henderson St., thence
Westerly along the north ROW line of the Interstate 30 exit at Henderson St.
to a point where said line intersects the west ROW line of Henderson, thence
Northward along the west ROW line of Henderson St. to a point where said
line intersects with the south ROW line of 3rd St., which is the point of
beginning.
Map and Boundary Description prepared by Gideon Toal, Inc.
Page 10 of 10
Ordinance Designating Tax Increment Reinvestment Zone Number Eight,
City of Fort Worth, Texas
Citjr of Fort VI/orth9 Texas
Mayor and Council Communication
SUBJECT:
Public Hearing and Ordinance Designating Tax Increment Reinvestment Zone Number Eight, City of
Fort Worth (Lancaster Corridor)
RECOMMENDATION:
It is recommended that the City Council
Hold a public hearing concerning the designation of Tax Increment Reinvestment Zone. Number Eight
City of Fort Worth, and
2. Adopt the attached ordinance which designates Tax Increment Reinvestment Zone Number Eight, City
of Fort Worth, Texas pursuant to Texas Tax Code, Chapter 311 (the Act).
DISCUSSION:
The proposed Tax Increment Reinvestment Zone Number Eight, being referred to as the Lancaster Corridor
TIF (the TIF), is located in the southern portion of downtown Fort Worth. The exact boundaries of the
property are described in Exhibit "A" of the attached ordinance. The TIF will expire on December 31, 2024
or the earlier date as of which all TIF project costs have been paid.
The TIF is intended to help fund the redevelopment of the T&P Terminal Building. The ordinance provides
that the City will contribute 100% of its tax increment to the TIF.
This public hearing is required by the Act. Notice of this hearing was (1) delivered to the governing body of
each affected taxing unit, and (2) published in a newspaper of general circulation at least seven days prior
to this meeting.
The proposed area meets the criteria for the designation of a reinvestment zone, in that the area is
reasonably likely, as a result of the designation, to contribute to the retention or expansion of primary
employment or to attract major investment in the Zone that would be a benefit to the property and that
would contribute to the economic development of the City. Further, the improvements sought in the Zone
are feasible, practical and would be a benefit to the land to be included in the Zone and to the City. In
addition, the proposed area meets the criteria for designation as a reinvestment zone under section
311.005 of the Act in accordance with the findings set forth in the attached ordinance, including, but not
limited to, the fact that the area includes a substantial number of substandard and deteriorating structures,
inadequate sidewalks and street layouts, unsanitary and unsafe conditions, and conditions that endanger
life and property.
FISCAL INFORMATION/CERTIFICATION:
The Finance Director certifies that the action will have no material effect on Ciy funds.
T,nanamP• 17NRARTNC'rTTFR Pane 1 nf')
TO Fund/AccountlCenters -FROM Fund/Account/Centers
Submitted for City Manag_er's Office bk Reid Rector (6140)
Originating Department Head: Tom Higgins (6192)
Additional Information Contact: Ardina Washington .(8003)
Peter Vaky (7601)
T,c-~name' 17HF.ARTN("rTTFR Pars 7 nf')