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HomeMy WebLinkAbout065095 - General - Contract - Jorge Luis AguirreCITY SECRETARY CONTRACT NO. FORT WORTH, NEIGHBORHOOD EMPOWERMENT ZONE 0FNC'P9\L RECORD TAX ABATEMENT AGREEMENT CU1T! SEEaRF-Ti A R Y New construction single -family -owner FT WO RT HI, TX 3124 Columbus Avenue This TAX ABATEMENT AGREEMENT ("Agreement") is entered into by and between the CITY OF FORT WORTH, TEXAS (the "City"), a home rule municipal corporation organized under the laws of the State of Texas and acting by and through David Cooke, its duly authorized City Manager, in accordance with the authority granted under Chapter 378 of the Texas Local Government Code, and Jorge Luis Aguirre, owner of property located 3124 Columbus Avenue, Lot 18, Block 35, Oak Grove Addition, an Addition to the City of Fort Worth, Tarrant County, Texas, according to the Map thereof Recorded in Volume 309, Page 59, Plat Records, Tarrant County, Texas. The City Council of the City of Fort Worth ("City Council") hereby finds and the City and Owner hereby agree that the following statements are true and correct and constitute the basis upon which the City and Owner have entered into this Agreement: A. On June 11, 2024, the Fort Worth City Council adopted Ordinance No. 26961 (the "Ordinance") establishing "Neighborhood Empowerment Reinvestment Zones No.1R through 8R" City of Fort Worth, Texas (the "Zones") and adopted Resolution No. 5968 establishing "Designation of the Neighborhood Empowerment Zone Areas One through Eight" (the "NET'). B. Owner owns certain real property located entirely within Zone 4R and that is more particularly described in Exhibit "1", attached hereto and hereby made a part of this Agreement for all purposes (the "Premises"). C. Owner or its assigns plan to construct the Required Improvements, as defined in Section 1.1 of this Agreement, on the Premises (the "Project"). D. On February 19, 2026, Owner submitted an application for tax abatement to the City concerning the Premises (the "Application"), attached hereto as Exhibit "2" and hereby made a part of this Agreement for all purposes. E. The contemplated use of the Premises, the Required Improvements and the terms of this Agreement are consistent with encouraging development of the Zone in accordance with the purposes for its creation and are in compliance with the NEZ Incentives, the Ordinance and other applicable laws, ordinances, rules and regulations. F. Written notice that the City intends to enter into this Agreement, along with a copy of this Agreement, has been furnished in the manner prescribed by the Code to the presiding Re Fob re governing bodies of each of the taxing units in which the Premises is located. i NOW, THEREFORE, the City and Owner, for and in consideration of the terns and conditions set forth herein, do hereby contract, covenant and agree as follows: 1. OWNER'S COVENANTS. 1.1. Real Property Improvements. Owner shall construct, or cause to be constructed, on and within the Premises certain improvements consisting of a single-family residence, of approximately 1,300 living space square feet in size and built to the specifications listed in Exhibit "3 ", (collectively the "Required Improvements"). Minor variations and more substantial variations if approved in writing by both parties to this Agreement before construction is undertaken in the Required Improvements from the description provided in the Application for Tax Abatement shall not constitute an Event of Default, as defined in Section 4.1, provided that the conditions in the first sentence of this Section 1.1 are met and the Required Improvements are used for the purposes and in the manner described in Section 1.3. 1.2. Completion Date of Required Improvements. Owner certifies that the Required Improvements will be completed within two years from the date of Council approval. The abatement will automatically terminate two years after Council approval if a building permit has not been pulled and a foundation has not been poured, unless delayed because of force majeure, in which case the two years shall be extended by the number of days comprising the specific force majeure. For purposes of this Agreement, force majeure shall mean an event beyond Owner's reasonable control as determined by the City of Fort Worth in its sole discretion, which shall not be unreasonably withheld, including, without limitation, delays caused by adverse weather, delays in receipt of any required permits or approvals from any governmental authority, acts of God, or fires. Force majeure shall not include construction delays caused due to purely financial matters, such as, without limitation, delays in the obtaining of adequate financing. 1.3. Use of Premises. Owner covenants that the Required Improvements shall be constructed and continuously used as the primary residence of the Home Owner in accordance with the NEZ Incentives. Home Owner shall file for a Homestead Exemption with Tarrant County Appraisal District January 1 of the year following the calendar year in which the Required Improvement is completed. In addition, Owner covenants that throughout the Term, the Required Improvements shall be maintained for the purposes set forth in this Agreement. 2. ABATEMENT AMOUNTS, TERMS AND CONDITIONS. Subject to and in accordance with this Agreement, the City hereby grants to Owner a real property tax abatement of City of Fort Worth -imposed taxes on the Premises for the Required Improvements, as specifically provided in this Section 2 ("Abatement"). Abatement does not include taxes from other taxing entities. 2.1. Amount of Abatement. The actual amount of the Abatement granted under this Agreement shall be based upon the increase in value of the Premises due to the Required Improvements, over its value as determined Page 2 NEZ Tax Abatement Agreement — Jorge Luis Aguirre 3124 Columbus Avenue M&C 26-0252 Approved: March 31.2026 by Tarrant Appraisal District in March 2026, and this amount is $0.00. If the square footage requirement of the Required Improvements are less than as provided in Section 1.1 of this Agreement, Owner shall not be eligible to receive any Abatement under this Agreement. 2.2 Increase in Value. The Abatement shall be 100% of the increase in value from the construction of the Required Improvements up to a maximum of $380,220.00 and shall apply only to taxes on the increase in value of the Premises due to construction of the Required Improvements. In other words, by way of example only, if the increase in value of the Required Improvements over its value in March 2026, in a given year is $381,000.00, Owner's Abatement for that tax year shall be capped and calculated as if the appraised value of the Required Improvements for that year had only been $380,220.00. The Abatement shall not apply to taxes on the land, nor shall the abatement apply to mineral interests. 2.3. Term of Abatement. The term of the Abatement ("Term") shall begin on January 1 of the year following the calendar year in which the Required Improvement is completed and the final inspection is passed ("Beginning Date") and, unless sooner terminated as herein provided, shall end on December 31 immediately preceding the fifth (51h) anniversary of the Beginning Date. 2.4 Protests Over Appraisals or Assessments. Owner shall have the right to protest and contest any or all appraisals or assessments of the Premises and/or improvements thereon. 2.5. Abatement Application Fee. The City acknowledges receipt from Owner of the required Application fee of $100.00. The application fee shall not be credited or refunded to Owner or its assigns for any reason. 3. RECORDS, AUDITS AND EVALUATION OF REQUIRED IMPROVEMENTS. 3.1. Inspection of Premises. Between the execution date of this Agreement and the last day of the Term, at any time during normal office hours throughout the Term and the year following the Term and following reasonable notice to Owner, the City shall have and Owner shall provide access to the Premises in order for the City to inspect the Premises and evaluate the Required Improvements to ensure compliance with the terms and conditions of this Agreement. Owner shall cooperate fully with the City during any such inspection and/or evaluation. 3.2. Certification. Owner shall certify annually to the City that it is in compliance with each applicable term of this Agreement. The City shall have the right to audit at the City's expense the Required Improvement with respects to the specifications listed in Exhibit "3". Owner must provide documentation that Owner is using the Required Improvements as its primary residence (collectively, the "Records") at Page 3 NEZ Tax Abatement Agreement — Jorge Luis Aguirre 3124 Columbus Avenue M&C 26-0252 Annroved: March 31.2026 any time during the Compliance Auditing Term in order to determine compliance with this Agreement. Owner shall make all applicable Records available to the City on the Premises or at another location in the City following reasonable advance notice by the City and shall otherwise cooperate fully with the City during any audit. 3.3 Provision of Information. On or before the last business day in April following the end of every year during the Compliance Auditing Term and at any other time if requested by the City, Owner shall provide information and documentation for the previous year that addresses Owner's compliance with each of the terms and conditions of this Agreement for that calendar year. Owner must also provide documentation of compliance to Tarrant Appraisal District (TAD) each year of the abatement by filling out and returning Tax Abatement Form 50-116 from the TAD website to TAD, no later than the last business day in April for each year Owner is requesting tax abatement. Failure to provide all information within the control of Owner required by this Section 3.3 shall constitute an Event of Default, as defined in Section 4.1. 3.4 Determination of Compliance. On or before August 1 of each year during the Compliance Auditing Term, the City shall make a decision and rule on the actual annual percentage of Abatement available to Owner for the following year of the Term and shall notify Owner of such decision and ruling. The actual percentage of the Abatement granted for a given year of the Term is therefore based upon Owner's compliance with the terms and conditions of this Agreement during the previous year of the Compliance Auditing Term. 4. EVENTS OF DEFAULT. 4.1. Defined. Unless otherwise specified herein, Owner shall be in default of this Agreement if (i) Owner fails to construct the Required Improvements as defined in Section 1.1.; (ii) ad valorem real property taxes with respect to the Premises or the Required Improvements, or its ad valorem taxes with respect to the tangible personal property located on the Premises, become delinquent and Owner does not timely and properly follow the legal procedures for protest and/or contest of any such ad valorem real property or tangible personal property taxes; (iii) OWNER DOES NOT USE THE PREMISES AS PRIMARY RESIDENCE ONCE THE ABATEMENT BEGINS; or (iv) OWNER DOES NOT COMPLY WITH CHAPTER 7 AND APPENDIX B OF THE CODE OF ORDINANCES OF THE CITY OF FORT WORTH (collectively, each an "Event of Default"). 4.2. Notice to Cure. Subject to Section 5, if the City determines that an Event of Default has occurred, the City shall provide a written notice to Owner that describes the nature of the Event of Default. Owner shall have sixty (60) calendar days from the date of receipt of this written notice to fully cure or have cured the Event of Default. If Owner reasonably believes that Owner will require additional time to cure the Event of Default, Owner shall promptly notify the City in writing, in which case (i) after advising the City Council in an open meeting of Owner's efforts and intent to cure, Owner shall have ninety Page 4 NEZ Tax Abatement Agreement — Jorge Luis Aguirre 3124 Columbus Avenue M&C 26-0252 ADDroved: March 31. 2026 (90) calendar days from the original date of receipt of the written notice, or (ii) if Owner reasonably believes that Owner will require more than ninety (90) days to cure the Event of Default, after advising the City Council in an open meeting of Owner's efforts and intent to cure, such additional time, if any, as may be offered by the City Council in its sole discretion. 4.3. Termination for Event of Default and Payment of Liquidated Damages. If an Event of Default which is defined in Section 4.1 has not been cured within the time frame specifically allowed under Section 4.2, the City shall have the right to terminate this Agreement immediately. Owner acknowledges and agrees that an uncured Event of Default will (i) harm the City's economic development and redevelopment efforts on the Premises and in the vicinity of the Premises; (ii) require unplanned and expensive additional administrative oversight and involvement by the City; and (iii) otherwise harm the City, and Owner agrees that the amounts of actual damages therefrom are speculative in nature and will be difficult or impossible to ascertain. Therefore, upon termination of this Agreement for any Event of Default, Owner shall pay the City, as liquidated damages; all taxes that were abated in accordance with this Agreement for each year when an Event of Default existed and which otherwise would have been paid to the City in the absence of this Agreement. The City and Owner agree that this amount is a reasonable approximation of actual damages that the City will incur as a result of an uncured Event of Default and that this Section 4.3 is intended to provide the City with compensation for actual damages and is not a penalty. This amount may be recovered by the City through adjustments made to Owner's ad valorem property tax appraisal by the appraisal district that has jurisdiction over the Premises. Otherwise, this amount shall be due, owing and paid to the City within sixty (60) days following the effective date of termination of this Agreement. In the event that all or any portion of this amount is not paid to the City within sixty (60) days following the effective date of termination of this Agreement, Owner shall also be liable for all penalties and interest on any outstanding amount at the statutory rate for delinquent taxes, as determined by the Code at the time of the payment of such penalties and interest (currently, Section 33.01 of the Code). 4.4. Termination at Will. . If the City and Owner mutually determine that the development or use of the Premises or the anticipated Required Improvements are no longer appropriate or feasible, or that a higher or better use is preferable, the City and Owner may terminate this Agreement in a written format that is signed by both parties. In this event, (i) if the Term has commenced, the Term shall expire as of the effective date of the termination of this Agreement; (ii) there shall be no recapture of any taxes previously abated; and (iii) neither party shall have any further rights or obligations hereunder. 4.5 Sexually oriented business & Liquor Stores or Package Stores. a. Owner understands and agrees that the City has the right to terminate this agreement if the Required Improvements contains or will contain a sexually oriented business. b. Owner understands and agrees that the City has the right to terminate this agreement as determined in City's sole discretion if the Required Improvements contains or will contain a liquor store or package store. 5. EFFECT OF SALE OF PREMISES. Except for an assignment to Owner's first mortgagee or to a homebuyer who will use the Required Improvements as its primary residence or the homeowner's mortgagee which City Council hereby agrees to, Page 5 NEZ Tax Abatement Agreement — Jorge Luis Aguirre 3124 Columbus Avenue M&C 26-0252 Annroved: March 31. 2026 the Abatement granted hereunder shall vest only in Owner; however if Owner sells the Premises and Required Improvements, this Abatement cannot be assigned to a new owner of all or any portion of the Premises and/or Required Improvements without the prior consent of the City Council, which consent shall not be unreasonably withheld provided that (i) the City Council finds that the proposed assignee is financially capable of meeting the terms and conditions of this Agreement and (ii) the proposed purchaser agrees in writing to assume all terms and conditions of Owner under this Agreement. Owner may not otherwise assign, lease or convey any of its rights under this Agreement. Any attempted assignment without the City Council's prior consent shall constitute grounds for termination of this Agreement and the Abatement granted hereunder following ten (10) calendar days of receipt of written notice from the City to Owner. Upon assignment to Owner's first mortgagee, or to a homebuyer who will use the Required Improvements as its primary residence or the homeowner's mortgagee, Owner shall have no further obligations or duties under this Agreement. In addition, upon assignment to any other entity with the written consent of City Council, Owner shall have no further duty or obligation under this Agreement. IN NO EVENT SHALL THE TERM OF THIS AGREEMENT BE EXTENDED IN THE EVENT OF A SALE OR ASSIGNMENT. THE FAILURE OF OWNER TO SEND THE CITY NOTIFICATION OF THE SALE OF THE REQUIRED IMPROVEMENTS AND EXECUTION OF THE ASSIGNMENT OF THIS AGREEMENT WITH THE NEW OWNER WITHIN 60 DAYS OF THE TRANSFER OF OWNERSHIP OF THE REQUIRED IMPROVEMENTS SHALL RESULT IN THE AUTOMATIC TERMINATION OF THIS AGREEMENT. THE NOTICE AND EXECUTED ASSIGNMENT MUST BE SENT TO THE CITY BY CERTIFIED MAIL OR BY HAND DELIVERY. 6. 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: City: City of Fort Worth Attn: City Manager 100 Fort Worth Trail Fort Worth, Texas 76102 and Neighborhood Services Department Attn: Director 100 Fort Worth Trail Fort Worth, Texas 76102 7. MISCELLANEOUS. 7.1. Bonds Owner: Jorge Luis Aguirre 3460 Schwartz Fort Worth, Texas 76106 The Required Improvements will not be financed by tax increment bonds. This Agreement is subject to the rights of holders of outstanding bonds of the City. Page 6 NEZ Tax Abatement Agreement — Jorge Luis Aguirre 3124 Columbus Avenue M&C 26-0252 Ammroved: March 31.2026 7.2. Conflicts of Interest. Neither the Premises nor any of the Required Improvements covered by this Agreement are owned or leased by any member of the City Council, any member of the City Planning or Zoning Commission or any member of the governing body of any taxing units in the Zone. 7.3. Conflicts Between Documents. In the event of any conflict between the City's zoning ordinances, or other City ordinances or regulations, and this Agreement, such ordinances or regulations shall control. In the event of any conflict between the body of this Agreement and Exhibit "3 ", the body of this Agreement shall control. 7.4. Future Application. A portion or all of the Premises and/or Required Improvements may be eligible for complete or partial exemption from ad valorem taxes as a result of existing law or future legislation. This Agreement shall not be construed as evidence that such exemptions do not apply to the Premises and/or Required Improvements. 7.5. City Council Authorization. This Agreement was authorized by the City Council through approval of Mayor and Council Communication No. 26-0252 on March 31, 2026, which, among other things, authorized the City Manager to execute this Agreement on behalf of the City. 7.6. Estoppel Certificate. Any party hereto may request an estoppel certificate from another party hereto so long as the certificate is requested in connection with a bona fide business purpose. The certificate, if requested, will be addressed to the Owner, and shall include, but not necessarily be limited to, statements that this Agreement is in full force and effect without default (or if an Event of Default exists, the nature of the Event of Default and curative action taken and/or necessary to effect a cure), the remaining term of this Agreement, the levels and remaining term of the Abatement in effect, and such other matters reasonably requested by the party or parties to receive the certificates. 7.7. Owner StandinLy. Owner shall be deemed a proper and necessary party in any litigation questioning or challenging the validity of this Agreement or any of the underlying laws, ordinances, resolutions or City Council actions authorizing this Agreement and Owner shall be entitled to intervene in any such litigation. 7.8. Venue and Jurisdiction. This Agreement shall be construed in accordance with the laws of the State of Texas and applicable ordinances, rules, regulations or policies of the City. Venue for any action under this Agreement shall lie in the State District Court of Tarrant County, Texas. This Agreement is performable in Tarrant County, Texas. Page 7 NEZ Tax Abatement Agreement — Jorge Luis Aguirre 3124 Columbus Avenue M&C 26-0252 Annroved: March 31. 2026 7.9. 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. 7.10 Headings Not Controlling. Headings and titles used in this Agreement are for reference purposes only and shall not be deemed a part of this Agreement. 7.11. 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 City and Owner, 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 City Council. This Agreement may be executed in multiple counterparts, each of which shall be considered an original, but all of which shall constitute one instrument. (REMAINDER OF PAGE INTENTIONALLY BLANK) Page 8 NEZ Tax Abatement Agreement — Jorge Luis Aguirre 3124 Columbus Avenue M&C 26-0252 Annroved: March 31.2026 CITY OF FORT WORTH: la'A -LI A By: 4�By: Dana Bur doff gdOFUVAguirre, OW r Assistant City Manager ATTEST: By. J die Goodall Secretary 4- "Wa ann 47 000000000 00 0 I0icy 0O��A a V%0 �v0 o-+d a o S=d APPROVED AS TO FORM AND LEGALITY: By: Christopher Austria Sr. Assistant City Attorney M & C: 26-0252 Date Approved: March 31, 2026 (JK110t ,L RECORD F1 -i)R:`frK, 7X Page 9 NEZ Tax Abatement Agreement — Jorge Luis Aguirre 3124 Columbus Avenue M&C 26-0252 Annroved: March 31.2026 STATE OF TEXAS § COUNTY OF TARRANT § BEFORE ME, the undersigned authority, on this day personally appeared Dana Burghdoff, Assistant City Manager of the CITY OF FORT WORTH, a municipal corporation, known to me to be the person and officer whose name is subscribed to the foregoing instrument, and acknowledged to me that the same was the act of the said CITY OF FORT WORTH, TEXAS, a municipal corporation, that she was duly authorized to perform the same by appropriate resolution of the City Council of the City of Fort Worth and that she executed the same as the act of the said City for the purposes and consideration therein expressed and in the capacity therein stated. GIVEN UNDE MY AND SEAL OF OFFICE this 93 day of �/1NAND , 2026. Notary Public in and for is AMBER MITCHELL Notary ID #129247634 the State of Texas My Commission Expires December 31, 2028 STATE OF TEXAS § COUNTY OF TARRANT § BEFORE ME, the undersigned authority, on this day personally appeared Jorge Luis Aguirre, Owner, known to me to be the person whose name is subscribed to the foregoing instrument, and acknowledged to me that he executed the same for the purposes and consideration therein expressed, in the capacity therein stated. IVEN UNDER MY HAND AND SEAL OF OFFICE this day of 6. r - YJ VIRGINIA R. VILLAL060S ota>y u c in and or ,`�t*Y °�e %' �c Notary Public, State of Texas ate of Texas SIA: Comm. Expires 12-16-2026 Notary ID 134109141 Page 10 NEZ Tax Abatement Agreement — Jorge Luis Aguirre 3124 Columbus Avenue M&C 26-0252 Annroved: March 31.2026 Exhibit 1: Property Description Exhibit 2: Application: (NEZ) Incentives and Tax Abatement Exhibit 3: Required Improvements description Page 11 NEZ Tax Abatement Agreement — Jorge Luis Aguirre 3124 Columbus Avenue M&C 26-0252 Annroved: March 31.2026 Exhibit 1 Property Description 3124 Columbus Avenue, Lot 18, Block 35, Oak Grove Addition, an Addition to the City of Fort Worth, Tarrant County, Texas, according to the Map thereof recorded in Volume 309, Page 59, of the Plat Records of Tarrant County, Texas. FORTWORTH. Exhibit 2 Application# City of Fort Worth Neighborhood Empowerment Zone (NEZ) Application for Incentives ApplicantInforplatioll: Deeded Property Owner/Developer OI Nit' V e . J or! l Lad Fit sl M.I. Mailing Address: 3ybd 5Ghwoa f2- Fi • LA✓ t ih Tic Street Address City Slate zip Phone: 617. q1/3- 3`476::�, Email: _�qN*f/2 3I2%wr4A1 can Contact: C k pQQ 00 j �_ (If different) Last First M.I. Phone: Email: Ghgect ya 0q 0 y eA NEZ certifications are project and owner specific. Please describe your project: (1 e w ­5 1, A C� GO 1,, r-,- S ' e Iz r- e Project Type ❑ ❑ ❑ ❑ ❑ ❑ Single Family Multi- Family Commercial Industrial Community Facilities Mixed -Use *Please be adviser/ if the project address is zoned as a designated historical properly (11Q or is /oc•aled in the Near Southside, Camp Bowie or Stock rard s Urban Design District, approval gfyosrr project is required prior to NEZ application submiltal. An approved -...: d._. _ r e....... ......... .......d ......... w:.... 11.........!.. A— ......1..14 ......d '%, 1.. A— Nr.7 n..nlin..dnu * Project Address: 3 1 a`ti cola ►^� htl 5 Stree Address 3 .. Legal Description: Lot Block Addition YES/ NO YES NO New Construction / Addition: Er ❑ Remodel / Rehab: ❑ ❑ Total New Sq. Ft. 1 Jo 0 Total Development Cost: J'd• $r �j0Q For a single family project, will the NEZ certified property be occupied by YES l 1O the property owner as a primary residence. ❑� If you selected No, please specify if this property will be sold to a homeowner as a primary residence or used as rental property. If your project is a Commercial or Mixed Use project, please list all specific uses that are being proposed: YES .,NO Do you wish to apply for a Municipal Property Tax abatement for this project? E1.1 ❑ If the above answer is yes, please contact the City of Fort Worth Neighborhood Services Department at (817) 392-7316 or visit http://forlwortlitexas.p,ov/neighborhoods/NEZ/ for additional information. Tax Abatements are processed after NEZ project certification and must go before the City Council for a vote. House Bill 3143 tools effect on September 1, 2019, which requires at least 30 days advance notice be given of the tax abatement. Due to compliance with HB 3143, the minimum time to process a tax abatement to be on the City Council agenda for vote is 12 to 14 weeks after the date of certification. Applicants rearresthte lux abatement may not subsdt Lor a buildhipmernsU until Ilse abatement has been approved by the City Council and the applicant has slened a contract. Revised 216126 SO FORT WORTH. Application# City of Fort Worth Neighborhood Empowerment Zone (NEZ) Application for Incentives YES NO Do you wish to apply for a release of NEZ Policy eligible City liens? ❑ ❑ Weed, Paving, Demolition and Board Up / Open Structure liens may be released for qualifying projects. For • • - Ohly,Do�Not Check! YES Will a Zoning Change application be necessary for this project? ❑ Current Zoning: _ a�s Proposed Use: YES NO Does project meet applicable zoning parking requirements? ® ❑ Signature of Zoning Staff. Rosalee Rivera P�RMXAM�"� Date: L==J PLEASE INITIAL NEXT TO EACH STATEMENT I understand that my application Will not be processed if it is incomplete. I agree to provide any additional information for determining eligibility as requested by the City. If the additional information is not submitted within 30 days, the application will be denied and application fees paid will not be reimbursed. lam► 1 hereby certify that the information provided is true and accurate. If I have misrepresented the facts in order to circumvent the NEZ policy, I hereby understand that I will be responsible for repaying the City of Fort Worth all fees and taxes waived through my NEZ certification and I will no longer be eligible to apply for any NEZ incentives in the future. In addition, fees not repaid will result in a lien being placed on the property. .� I hereby certify that all documents and information required by the Application Submittal Checklist is attached. I hereby acknowledge that I have read the NEZ Basic Incentives and Tax Abatement Policy, which governs the granting of ax abatements, fee waivers and release of City liens, and that any VIOLATION of the terms of the NEZ Basic Incentives or MISREPRESENTATION shall constitute grounds for rejection of an application or termination of incentives at the discretion of the City. _A— I understand that the approval of fee waivers and other incentives shall not be deemed to be approval of any aspect of the project. 1 understand that I am responsible for obtaining required permits and inspections from the City and in ensuring the project is located in the correct zoning district. NI understand that if there are back taxes due or liens against any property I own under any name in Tarrant County, 1 will not be eligible for NEZ incentives, I hereby certify that the project plans submitted with this application meet the NEZ design guideline requirements as listed below or meet Smatey* Pkoi Kuddelines fur the Berrvhill/Masan lleikhI& Oakland Corners and Slog Six areets as otalined on the NEZ ►rehpase. 1 understand that if the project plans do not meet these design requirements, all permits will be put on hold pending correction. If I choose to relinquish my NEZ certification instead of meeting the design requirements, payment for all fees waived by the City up to that point will be due immediately and the building permit will not be issued until payment is made. a. No metal buildings except for industrial projects on property zoned for industrial use. b.All new construction projects must contain 70% masonry product c. Exceptions to the masonry product requirement will be made for approved plans within all Local Historic Districts and the Near Southside, Camp Bowie and Stockyards Urban Design Districts. Applicants must provide a Certificate of Appropriateness and Supporting documentation for the project with their completed NEZ application. This exemption applies only to the masonry product requirement. All other design guidelines will not be waived. d.Compliance with NEZ design guidelines for Council adopted NEZ Strategic Plans (Berryhill/Mason Heights, Oakland Corners and Stop Six) is required for certification, e.Attached garages for new single-family homes may not extend more than 4 feet past the front building wall. Revised 2/5/25 80 FORT WORTH. Application# City of Fort Worth Neighborhood Empowerment Zone (NEZ) Application for Incentives dtv 1 understand that if 1 have not submitted a NEZ application and do not have NEZ certification, I must pay all associated fees at the time of project application and/or permit submittal. This includes setting up an escrow account with the City. 1 understand that some permits may not be issued while NEZ eligibility is being established. Example: Applications that are re nesting Tax Abatement. 0 1 understand that if 1 have submitted an opt out form and have had a building permit issued, I am not eligible to apply for aM incentives from the NEZ program. Ll Printed Name of Property ignato a of Property Date Owner/Developer Owner/Developer Please submit your completed application online to: http:/Iforhvorthtexas.tEov/neighborhoods/NEZ/apply For more information on the NEZ Program Incentives, please visit our web site at http://fortworthtexas.gov/neighborhoods/NEZ/ or contact our office at (817) 392-7540 or nez NS cr fortworthtexas.gov For more information on Tax Abatements, see the above website or contact Sarah Odle with the Neighborhood Services Department at (817) 392-7316. Revised 2/6/26 SO Exhibit 3 Proiect Description New Construction of a single family residence • 1,300 square feet • 1 Story • 3 Bedroom, 2 Bath • Open Concept, Kitchen/Living Room • Separate Pantry • 1 Car Garage • Covered Porch • Hardi Board Exterior City of Fort Worth, Texas Mayor and Council Communication DATE: 03/31/26 M&C FILE NUMBER: M&C 26-0252 LOG NAME: 19NEZ3124COLUMBUSAVE SUBJECT (CD 2) Authorize Execution of a Five -Year Tax Abatement Agreement with Jorge Luis Aguirre for the Construction of a Single -Family Dwelling of Approximately 1,300 Square Feet and Having a Cost of at Least $137,000.00 on Property Located at 3124 Columbus Avenue in the Far Greater Northside Historical Neighborhood and within Neighborhood Empowerment Zone Area One and Neighborhood Empowerment Reinvestment Zone No. 1 R RECOMMENDATION: It is recommended that the City Council: 1. Authorize the execution of a five-year Tax Abatement Agreement with Jorge Luis Aguirre for the construction of a single-family dwelling of approximately 1,300 square feet and having a cost of at least $137,000.00 on property located at 3124 Columbus Avenue, in the Far Greater Northside Historical neighborhood and within Neighborhood Empowerment Zone Area One and Neighborhood Empowerment Reinvestment Zone No. 1 R; and 2. Find that the terms of, and the property subject to, the Tax Abatement Agreement meet the criteria and guidelines set forth in the Neighborhood Empowerment Zone Program Basic Incentives and Tax Abatement Policy. DISCUSSION: Jorge Luis Aguirre, (Property Owner), is the owner of the property described as Lot 18, Block 35, Oak Grove Addition, an addition to the City of Fort Worth, Tarrant County, Texas, according to the Map thereof record recorded in Volume 309, Page 59, Plat Records, Tarrant County, Texas, located at 3124 Columbus Avenue, Fort Worth, Texas, (the Property). The Property is located in the Far Greater Northside Historical neighborhood and within Neighborhood Empowerment Zone, (NEZ) Area One. The Property Owner plans to invest an estimated amount of $137,000.00 to construct a single-family residence of approximately 1,300 square feet (Project) on the Property. The Project will be used as the homeowner's primary residence. The Neighborhood Services Department reviewed the application and certified that the Property Owners and Project meet the eligibility criteria to receive a NEZ Municipal Property Tax Abatement. The NEZ Basic Incentives include a five-year Municipal Property Tax Abatement on the increased value of improvements to the qualified owner of any new construction or rehabilitation within the NEZ. Residential owner -occupied tax abatements are capped at the annual median home value as reported by the National Association of Realtors for Tarrant County. This value is updated annually and is currently $380,220.00. Upon execution of the Tax Abatement Agreement (Agreement), the total assessed value of the improvements used for calculating municipal property tax will be frozen for a period of five years starting January 2027 at the estimated pre -improvement value as defined by the Tarrant Appraisal District, (TAD) in February 2026 for the property as follows: Pre -Improvement TAD Value of Improvements $0.00 Pre -Improvement Estimated Value of Land $49,000.00 Total Pre -Improvement Estimated Value �[!4 700-0- 00 The estimated municipal property tax to be abated on the improved value of the Project after construction is estimated in the amount of $917.90 per year, for a total amount of $4,589.50 over the five-year period, not counting increases from reappraisals. However, this estimate may differ from the actual tax abatement value, which will be calculated based on the TAD appraised value of the property up to the capped value. In the event of a sale of the Property, the Agreement may be assigned to a new owner's first mortgage or a new owner as a primary residence. All other assignments must be approved by the City Council. This property is located in COUNCIL DISTRICT 2. A Form 1295 is not required because: This M&C does not request approval of a contract with a business entity. FISCAL INFORMATION / CERTIFICATION: The Director of Finance certifies that upon final approval of the Tax Abatement Agreement, a loss of an estimated $4,589.50 in property tax revenue may occur over the five-year period. This reduction in revenue will be incorporated into the long term financial forecast upon the Tax Abatement being officially granted. Submitted for City Manager's Office bk Dana Burghdoff 8018 Originating Business Unit Head: Kacey Thomas 8187 Additional Information Contact: Sarah Odle 7316 File #: MC 260252 Version: 1 Type: Award of Contract Consent Title: (CD 2) Authorize Execution of a Five Year Tax Abatement Agreement with Jorge Luis Aguirre for the Construction of a Single -Family Dwelling of Approximately 1,300 Square Feet and Having a Cost of at Least $137,000.00 on Property Located at 3124 Columbus Avenue in the Far Greater Northside Historical Neighborhood and within Neighborhood Empowerment Zone Area One and Neighborhood Empowerment Reinvestment Zone No. 1R Mover: Seconder: Result: Agenda note: Minutes note: Action: Approved Action text: Approved. FORTWORTH. City Secretary's Office Contract Routing & Transmittal Slip Contractor's Name: Jorge Luis Aguirre Subject of the Agreement: NEZ Tax Abatement Agreement at 3124 Columbus Ave. M&C Approved by the Council? * Yes ® No ❑ If so, the M&C mlist be attached to the contract. Is this an Amendment to an Existing contract? Yes ❑ No 8 If so, provide the original contract number and the amendment number. Is the Contract "Permanent"? *Yes ❑ No If unsure, see back page for permanent contract listing. Is this entire contract Confidential? *Yes ❑ No ® If only specific information is Confidential, please list what information is Confidential and the page it is located. Effective Date: The year after the the final inspection is passed Expiration Date If dierent from the approval date. 5 years after effective date If applicable. Is a 1295 Form required? * Yes ❑ No W *If so, please ensure it is attached to the approving M&C or attached to the contract. Project Number: If applicable. *Did you include a Text field on the contract to add the City Secretary Contract (CSC) number? Yes R No ❑ Contracts need to be routed for CSO processing in the followingoer: 1. Katherine Cenicola (Approver) 2. Jannette S. Goodall (Signer) 3. Allison Tidwell (Form Filler) *Indicates the information is required and if the information is not provided, the contract will be returned to the department.