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HomeMy WebLinkAbout064682 - Construction-Related - Contract - Board of Directors of Tax Increment Reinvestment Zone No. 2CC �� CSC No. 64682 TAX INCREMENT FINANCING DEVELOPMENT AGREEMENT (TIF 2; Signalization/Traffic and Pedestrian Improvements-Hwy 114 and Championship Parkway; Res. No. TIF2-2024-01 dated 10/16/24) This TAX INCREMENT FINANCING DEVELOPMENT AGREEMENT ("Agreement") is entered into by and between the BOARD OF DIRECTORS OF TAX INCREMENT REINVESTMENT ZONE NUMBER TWO, CITY OF FORT WORTH, TEXAS (the "Board"), an administrative body appointed in accordance with Chapter 311, Texas Tax Code (the "TIF Act") to oversee the administration of Tax Increment Reinvestment Zone Number Two, City of Fort Worth, Texas, a reinvestment zone designated by ordinance of the City of Fort Worth in accordance with the TIF Act, and the CITY OF FORT WORTH, a Texas home-rule municipal corporation, ("City"). RECITALS The Board and City agree that the following statements are true and correct and constitute the basis upon which the Board and City have entered into this Agreement: A. On December 19, 1995, the City Council adopted Ordinance No. 12323, establishing Tax Increment Reinvestment Zone Number Two, City of Fort Worth, Texas (the "TIF District"), and establishing the tax increment fund of the TIF District (the "TIF Fund"). B. On August 10, 1999, the City Council approved project and financing plans for the Zone pursuant to Ordinance No. 13889, which were subsequently amended on October 29, 2002, pursuant to Ordinance No. 15304 (collectively the "TIF Project Plan" or "Plans"). The Plans set forth, among other things, the public works or public improvements that the Board and the City have determined will benefit the Zone and toward which revenue of the TIF can be dedicated, as provided by the TIF Act. C. The intersection at State Highway 114 and Championship Parkway is currently unprotected and non-signalized with stop signs only on Championship Parkway. Due to the increased growth in the area, this intersection is now a safety concern for both northbound and southbound traffic with limited ADA-compliant access. D. City and Denton County have entered into an Interlocal Agreement under City Secretary Contract No. 64295 ("ILA") for Denton County to design and construct the required traffic signalization and related public improvements necessary to alleviate the safety concerns at the intersection as further described in Exhibit "A", which is attached hereto and made a part of this Agreement for all purposes ("Public Improvements"). E. The total cost for the Public Improvements are estimated to be $5,000,000.00 ("Total Project CosY'). Pursuant to the ILA, the City has agreed to fund a portion of the Total Project Cost in an amount not to exceed $1,500,000.00 and Denton County will be responsible for funding the remaining $3,500,000.00. F. The Public Improvements are located entirely within the TIF District or otherwise directly benefit the TIF District. A map of the TIF District is attached hereto as Exhibit "B" and made a part of this Agreement for all purposes. Development Agreement between TIF 2 Board and City of Fort Worth G. City has requested that the Board fund the City's share of the Total Project Cost for the Public Improvements within the public right-of-way in an amount not to exceed One Million Five Hundred Thousand Dollars and No/Cents ($1,500,000.00) (the "Project"). For purposes of this Agreement, "Project" includes all Public Improvements and other Project-related expenditures that are eligible for TIF reimbursement. H. The TIF Project Plan specifically authorizes the Board to enter into agreements dedicating revenue from the TIF fund for public improvements within the TIF District. Accordingly, the Project qualifies as lawful "project costs," as that term is defined in Section 311.002(1) of the TIF Act. Accordingly, the Board is willing to disburse to the City the Project cost solely in accordance with and pursuant to this Agreement. AGREEMENT NOW, THEREFORE, the Board and City, for and in consideration of the terms and conditions set forth herein, do contract, covenant and agree as follows: 1. CITY'S OBLIGATIONS. The City will oversee and be responsible for providing the Project cost to Denton County to facilitate the completion of the Project. The Project will be constructed in accordance with all applicable legal requirements. 2. THE FUND CONTRIBUTIONS; PRIORITY OF PAYMENT. The Board shall transfer an amount not to exceed $1,500,000.00 from the TIF Fund to the City to facilitate completion of the Project pursuant to the terms of the ILA. 3. TERM. The term of this Agreement shall be effective as of October 16, 2024 ("Effective Date") and expire upon the earlier of: (i) the complete performance of all obligations and conditions precedent by the Board and City; (ii) termination by either the Board or City as permitted by this Agreement; or (iii) termination of the TIF District in accordance with Section 311.017 of the TIF Act. 4. NOTICES. All written notices called for or required by this Agreement shall be addressed to the following, or such other party or address as either party designates in writing, by certified mail, postage prepaid, or by hand delivery: Board: Board of Directors TIF 2 Attn.: TIF Administrator 100 Fort Worth Trail City: City of Fort Worth Attn.: Transportation & Public Works Department 100 Fort Worth Trail Fort Worth, TX 76102 Fort Worth, TX 76102 with a copy each to: Director, Economic Development City of Fort Worth 100 Fort Worth Trail Fort Worth, TX 76102 Development Agreement between TIF 2 Board and City of Fort Worth (Res. No. TIF2-2024-01; 10/16/24) Page 2 of 6 City Attorney City of Fort Worth 100 Fort Worth Trail Fort Worth, TX 76102 5. COMPLIANCE WITH LEGAL REQUIREMENTS. This Agreement is subject to all applicable federal, state and local laws, ordinances, rules and regulations, including, but not limited to, all provisions of the City' s Charter and ordinances, as amended, and violation of the same shall constitute a default under this Agreement. In undertaking any work on the Project, Developer, its officers, agents, servants, employees, contractors and subcontractors shall comply with all federal, state and local laws and all ordinances, rules and regulations of the City, as such laws, ordinances, rules and regulations exist or may hereafter be amended or adopted (collectively, "Legal Requirements"). 6. SEVERABILITY. If any provision of this Agreement is held to be invalid, illegal or unenforceable, the validity, legality and enforceability of the remaining provisions shall not in any way be affected or impaired. 7. COUNTERPARTS. This Agreement may be executed in any number of counterparts, each of which shall be deemed an original and constitute one and the same instrument. 8. CAPTIONS. The captions to the various clauses of this Agreement are for informational purposes only and shall not alter the substance of the terms and conditions of this Agreement. 9. ENTIRETY OF AGREEMENT. This Agreement, including any exhibits attached hereto and any documents incorporated herein by reference, contains the entire understanding and agreement between the Board and Developer, their assigns and successors in interest, as to the matters contained herein. Any prior or contemporaneous oral or written agreement is hereby declared null and void to the extent in conflict with any provision of this Agreement. This Agreement shall not be amended unless executed in writing by both parties and approved by the Board in an open meeting held in accordance with Chapter 551 of the Texas Government Code. IN WITNESS WHEREOF, the undersigned have caused this Agreement to be executed effective as of the Effective Date. ----- This space left blank intentionally. ----- ----- Signature pages, exhibits list, and exhibits follow. ----- Development Agreement between TIF 2 Board and City of Fort Worth (Res. No. TIF2-2024-01; 10/16/24) Page 3 of 6 BOARD OF DIRECTORS OF TAX INCREMENT REINVESTMENT ZONE NUMBER TWO, CITY OF FORT WORTH, TEXAS .m� C�. ae�� Signature By: Printed Name Title Signed on the day of CITY OF FORT WORTH: By: � Name: Jesica M�Fachern Title: Assistant City Manager Date: 02/07/2026 APPROVAL RECOMMENDED: �a,un�.�.� ��ru�..v�_ By; Lauren Prieur (Feb 8, 2026 11:01:49 CST) Name: i aiiran Priaiir Tltle: nirPrtnr Tranennrtatinn anrl Puhlir ATTEST: �: � � B : (J��r�� y Name: Jannette Goodall Title: City Secretary Development Agreement between TIF 2 Board and City of Fort Worth (Res. No. TIF2-2024-01; 10/16/24) , 2026. CONTRACT COMPLIANCE MANAGER: By signing I acknowledge that I am the person responsible for the monitoring and administration of this contract, including ensuring all performance and reporting requirements. By: Name Title: ,%% i �� ,r / Kelly Baggett APPROVED AS TO FORM AND LEGALITY: By: �f � i� ' /t��-`� Name: Thomas R. Hansen Title: Assistant City Attorney CONTRACT AUTHORIZATION: M&C No.: 25-0859 on 9/16/2025 Page 4 of 6 EXHIBITS Exhibit "A" — Public Improvements Description and Costs Traffic Signal Improvements at Highway 114 and Championship Parkway A Traffic Signal Warranty Analysis completed in June 2023 confirmed that the intersection meets multiple warrants—including the Eight-Hour and Four-Hour Vehicular Volume warrants—and TxDOT supports installing new traffic signals. Existing conditions include an unprotected, non-signalized intersection where Championship Parkway stops but Highway 114 does not, limited through-lane capacity, and non-ADA-compliant pedestrian infrastructure. The proposed project will deliver a protected signalized intersection with dual through-lanes and dual left-turn lanes in both directions, ADA-compliant sidewalks and ramps, and upgraded pavement markings and signage. Denton County will fund the design and the remaining balance for an estimated $5 million dollar project cost. The City of Fort Worth will oversee the design and construction of the traffic signal and pedestrian improvements within the TIF 2 boundary for an amount up to $1.5 million, with construction anticipated to be completed in Spring/Summer 2026. Exhibit "B" — Map of TIF District Project Limits: Intersection of HWY 114 & Championship Pkwy Development Agreement between TIF 2 Board and City of Fort Worth (Res. No. TIF2-2024-02; 10/16/24) Page 5 of 6 �UiciniryMap � � fl- , � �; �.c� � � x "^ *,i sv,. _ �ss _ �r °.f ��� � �,`�`�. ,� ' � � a� ���< r . � s ? � �a F �. 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No. TIF2-2024-02; 10/16/24) Page 6 of 6 City of Fort Worth, Mayor and Texas Council Communication DATE: 09/16/25 M&C FILE NUMBER: M&C 25-0859 LOG NAME: 2025 SH 114 AND CHAMPIONSHIP PARKWAY FUNDING AND ICA SUBJECT (CD 10) Accept Funds in the Amount Up to $1,500,000.00 from Tax Increment Reinvestment Zone Number Two for Construction of State Highway 114 and Championship Parkway Intersection Improvement Project; Authorize Execution of an Interlocal Cooperation Agreement with Denton County for an Amount Up to $5,000,000.00, with Participation in an Amount Up to $1,500,000.00 for Design and Construction of the Project; Adopt Appropriation Ordinances and Amend the Fiscal Years 2025-2029 Capital Improvement Program 1:7 X��] ��i h�i 1�►U7_� �[�7► A It is recommended that the City Council: 1. Accept funding in the amount of $1,500,000.00 from the Tax Increment Reinvestment Zone Number Two for the State Highway 114 and Championship Parkway Intersection Improvement project (City Project No.105557); 2. Authorize execution of an Interlocal Cooperation Agreement with Denton County for an amount up to $5,000,000.00, with County participation in an amount up to $3,500,000.00 and City participation in an amount up to $1,500,000.00 for design and construction of the State Highway 114 and Championship Parkway Intersection Improvement project (City Project No.105557); 3. Adopt the attached appropriation ordinance increasing estimated receipts and appropriations in the Tax Increment Reinvestment Zone - General Capital Fund in the amount of $1,500,000.00, transferred from the Tax Increment Reinvestment Zone Number Two A(No. 2A) - Texas Motor Spdwy Fund, for the purpose of funding the traffic signal and pedestrian improvements at State Highway 114 and Championship Parkway project (City Project No. 105557); 4. Adopt the attached appropriation ordinance increasing receipts and appropriations in the 2007 Critical Capital Projects Fund in the amount of $50,000.00, from available proceeds from CO2008 within Unspecified -All Funds project (City Project No. UNSPEC), for the purpose of funding the SH 114 and Championship Parkway Improvements project (City Project No. 105557); and 5. Amend the Fiscal Years 2025-2029 Capital Improvement Program. DISCUSSION: The purpose of this Mayor and Council Communication (M&C) is to accept funding from the Tax Increment Reinvestment Zone Number Two ('TIF") for the State Highway (SH) 114 and Championship Parkway Intersection Improvement project in an amount up to $1,500,000.00 subject to the execution of the TIF Development Agreement, authorize execution of an Interlocal Cooperation Agreement (ICA) with Denton County, with Denton County's share in an amount up to $3,500,000.00, for design and construction of the project, and appropriate $50,000.00 for management of the project by City of Fort Worth staff. On October 16, 2024, the Board of Directors for the TIF passed a resolution authorizing funding for the City of Fort Worth for intersection improvements at State Highway 114 and Championship Parkway (See attached Resolution). Approval of this Mayor and Council Communication allows the City to receive this funding for the project. The location of this project is at the intersection of SH 114 and Championship Parkway. The scope of the project is to design and construct new traffic and pedestrian signals to provide a protected signalized intersection, reconfigure the existing travel lane layout to provide dual through lanes and dual left turn lanes on northbound and southbound Championship Parkway, construct Americans with Disabilities Act (ADA) compliant sidewalks and ramps and install new pavement markings and signage. Denton County will conduct and pay for design of the project improvements, the City will review the engineering plans, Denton County will incorporate City of Fort Worth comments during the design process and Denton County will advertise, bid and award the construction contract and build the project. Funding for this project was not included in the FY2025-2029 Capital Improvement Program due to project inception after the adoption of the Capital Improvement Program. The action in this M&C will update the FY2025-2029 Capital Improvement Program. Funding is available in the TIRZ #2A - Texas Motor Speedway Fund and in the Unspecified-All Funds project within the 2007 Critical Capital Projects Fund for the purpose of funding the SH 114 at Championship Pkwy project. This program is located in COUNCIL DISTRICT 10. A Form 1295 is not required because: This contract will be with a governmental entity, state agency or public institution of higher education: Denton Counry FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that funds are currently available in the TIRZ #2A — Texas Motor Spdwy Fund and in the Unspecified-All Funds project within the 2007 Critical Capital Projects Fund and upon approval of the above recommendations and adoption of the attached appropriation ordinances, funds will be available in the TIRZ - General Capital and 2007 Critical Capital Project Funds for the SH 114 at Championship Pkwy project to support the approval of the above recommendations and execution of the agreement. Prior to an expenditure being incurred, the Transportation & Public Works and Economic Development Departments have the responsibility of verifying the availability of funds. Submitted for Citv Manaaer's Office bv: Jesica McEachern 5804 Oriainatina Business Unit Head: Lauren Prieur 6035 Additional Information Contact: Monty Hall 8662 Resolution: TIF2-2024-02 Date: Octobei• 16, 2024 RESOLUTION Board of Directors Tax Increment Reinvestment Zone Number Two, City of Fort Worth, Texas A UTHORIZING EXECUTION OF A TAX INCREMENT FINANCING (TIF) DEVELOPMENT AGREEMENT BETWEEN THE BOARD OF DIRECTORS OF TAX INCREMENT REINVESTMENT ZONE NUMBER TWO AND THE CITY OF FORT WORTH FOR PUBLIC IMPROVEMENTS ASSOCIATED WITH TRAFFIC SIGNAL AND PEDESTRIAN IMPRO i�EMENTS AT HIGHWAY 119 AND CHAMPIONSHIP PARKWAY WHEREAS, the Board of Directois ("Board") of Taa Increment Reinveshnent Zone Number Two, City of Fort Worth, Texas ("TIF District") desires to proinote the developinent and redevelopment of the Speedway area as authorized by the Foi�t Woi�th City Council and state law; WHEREAS, on December 19, 1995, the Board adopted a Project and Financing Plan ("Plan") for the TIF District, which was appi�oved by the City Council by oi•dinance and in accordance with Section 311.011 of the Texas Tax Code, and which was subsequently updated by the Board on October 15, 2002, and approved by City Council on October 29, 2002; WHEREAS, in accordance with Section 3ll .010 of the Texas Tax Code, the Board may use TIF revenue only for the types and kinds of projects set forth in the Plan; WHEREAS, tlle Plan identifes public improvements, such as t��affic signal and pedesteian improvements, that pi•omote safety and business development within the TIF Dish•ict as eligible expenses; WHEREAS, a tt�affic signal wai•rant analysis conducted in June 2023 for the intersection of Highway 114 and Championship Parkway identified multiple warrants for• signal installation, including Eight-Hour Vehicular Volume and Four-Hour Vehiculai• Volume, and TaDOT concurs with the installation of new traffic signals; WHEREAS, the curl•ent inteisection is unprotected and non-signalized, with stop signs on Championship Parkway but none on Highway 114, creating a safety concern for not-thbound and southbound traffic with limited ADA-compliant access; WHEREAS, the proposed impi�ovements include dual through lanes and dual left turn lanes on both the northbound and southbound sides of Championship Parkway, ADA-compliant sidewall<s or ramps, and pavement marking and signage; WHE12EA5, Denton County has agreed to fund the design of the pi•oject and appt•oximately 50% of the total project cost, with a total estimated budget of $4,000,000.00; WHEREAS, the City has requested TIF suppo�•t for traffc signal and pedesti•ian improvements, with a construction coinpletion date by Januai•y 31, 2028; WHEREAS, the City of Fort Worth has i•equested an amount of up to $1,500,000.00 fi�om the Board to fiind these public improvements; and Page 1 of 2 Resolution: TIF2-2024-02 Date: October 16, 2024 WHEREAS, the purpose of this Resolution is to authorize the Tax Increment Financing Development Agi•eement ("Agreeinent") with the City of Fort Worth to oversee the design and consti•uction of the traffic signal and pedestrian improvements within the TIF #2 boundaiy. NOW, THEREFORE, BE IT RESOLVED: Section 1. That fl1e Board authorizes tl�e Agreement with the City of Foi•t Woi•th to fund or reimburse the costs of the traffic signal and pedesti•ian impi•ovements associated with the development at Highway 114 and Championship Parl<way in an amount not to e�ceed $1,500,000.00 in accordance with the Recitals set forth above. Section 2. That the Development will begin by Januaiy 31, 2025 and be co�npleted no latei• than January l, 2028, with the option to allow the Chaiipe�son of the Board to extend tlie deadline up to an additional six (6) months if requested by the City of Fort Worth and if the Development is substantially complete. Section 3. That the Chairperson of the Board is authorized to sign this Resolution on the Board's behalf and execute all necessary agt�eements and related documents in accordance with this Resolution. Section 4. That tlZis Resolution shall take effect iminediately fi•om and after its passage. 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