HomeMy WebLinkAbout28316-02-2026 - City Council - OrdinanceORDINANCE NO.28316-02-2026
AN ORDINANCE DESIGNATING A CERTAIN AREA IN THE
CITY OF FORT WORTH AS "TAX ABATEMENT
REINVESTMENT ZONE NUMBER ONE HUNDRED FIFTEEN,
CITY OF FORT WORTH, TEXAS"; PROVIDING THE
EFFECTIVE AND EXPIRATION DATES FOR THE ZONE AND A
MECHANISM FOR RENEWAL OF THE ZONE; AND
CONTAINING OTHER MATTERS RELATED TO THE ZONE.
WHEREAS, pursuant to the City of Fort Worth's ("City") General Tax Abatement
Policy, as revised and adopted by the Fort Worth City Council ("City Council") on
December 9, 2025 via Resolution No. 6222-12-2025 ("Tax Abatement Policy"), the City
has elected to be eligible to participate in tax abatement and has established guidelines and
criteria governing tax abatement agreements entered into between the City and various
third parties, as authorized by Chapter 312 of the Texas Tax Code, as amended ("Code");
WHEREAS, the City Council desires to promote the development of the area in
the City more specifically described in Exhibit "A" of this Ordinance ("Zone") through
the creation of a tax abatement reinvestment zone for the purpose of supporting new
business investment or expansion, as authorized by the Code;
WHEREAS, Stellar Energy Americas, Inc., or an Affiliate, ("Company"), in
addition to other employment and salary commitments, will: (1) expend or cause to be
expended a minimum of $34 million in total construction costs for real property
improvements for the development of Company's manufacturing facility within the Zone;
and (ii) install new taxable tangible business personal property at the newly developed
Company manufacturing facility within the Zone with a minimum assessed taxable value
of $45.5 million (collectively, the "Improvements");
WHEREAS, Company has applied for real and business personal property tax
abatements from the City in return for completion of the Improvements in the Zone, and to
foster economic development in the Zone and the City in general, it is anticipated that the
City will enter into a City Council -approved tax abatement agreement with Company to
that effect;
WHEREAS, on February 10, 2026, the City Council held a public hearing
regarding the creation of the Zone, received information concerning the Improvements
proposed for the Zone, and afforded a reasonable opportunity for all interested persons to
speak and present evidence for, or against, the creation of the Zone ("Public Hearing"),
as required by Section 312.201(d) of the Code;
Ordinance Designating Tax Abatement Reinvestment Zone Number One Hundred Fifteen, City of Fort Worth, Texas
Page 1 of 3
WHEREAS, notice of the Public Hearing was published in a newspaper of general
circulation in the City at least seven (7) days prior to the Public Hearing, in accordance
with Section 312.201(d)(1) of the Code; and
WHEREAS, in accordance with Sections 312.201(d)(2) and 312.201(e) of the
Code, notice of the Public Hearing was also delivered, in writing, to the presiding officer
of the governing body of each taxing unit that includes in its boundaries real property that
is to be included in the proposed Zone not later than the seventh day before the date of the
Public Hearing.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF
THE CITY OF FORT WORTH, TEXAS:
SECTION 1.
FINDINGS.
That, after reviewing all information before it regarding the establishment of the
Zone and after conducting the Public Hearing and affording a reasonable opportunity for
all interested persons to speak and present evidence for, or against, the creation of 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 and the City has met the statutory requirements of Chapter 312 of the Code
for creation and designation of the Zone.
1.2. The Improvements proposed for the Zone, as more specifically outlined in the
Public Hearing, are feasible and practical and, once completed will benefit the land
included in the Zone as well as the City for a period of more than ten (10) years,
which is the statutory maximum term of any tax abatement agreement entered into
under Chapter 312 of the Code.
1.3. As a result of designation as a reinvestment zone, the area within the Zone is
reasonably likely to contribute to the expansion of primary employment and to
attract major investment in the Zone that will be a benefit to property in the Zone
and will contribute to the economic development of the City.
SECTION 2.
DESIGNATION OF ZONE
That the City Council designates the Zone described in the boundary description
attached hereto as Exhibit "A" and made a part of this Ordinance for all purposes as a
reinvestment zone for purposes permitting tax abatement as may be found desirable by the
City or any other eligible taxing units for purposes authorized by and in accordance with
Chapter 312 of the Code. This Zone will be known as "Tax Abatement Reinvestment Zone
Number One Hundred Fifteen, City of Fort Worth, Texas." This project is eligible for
Ordinance Designating Tax Abatement Reinvestment Zone Number One Hundred Fifteen, City of Fort Worth, Texas
Page 2 of 3
commercial/industrial tax abatements per Section 4 of the Tax Abatement Policy as a
Target Industry Project in the target industry of Energy - Smart Building Systems.
SECTION 3.
TERM OF ZONE
The Zone takes effect upon the effective date of this Ordinance and expires five (5)
years thereafter. The Zone may be renewed by the City Council for one or more subsequent
terms not to exceed five years, unless otherwise allowed by law.
SECTION 4.
SEVERABILITY
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 will remain in full
force and effect and shall not in any way be impaired or affected by such decision, opinion,
or judgment.
SECTION 5.
IMMEDIATE EFFECT.
That this Ordinance takes effect upon its adoption.
ADOPTED AND EFFECTIVE: February 10, 2026
APPROVED AS TO FORM AND LEGALITY: ATTESTED BY:
By: Michael Doss (Feb 27, 2026 16:49:40 CST)
Michael Doss
Senior Assistant City Attorney
M&C:26-0117
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Jannette S, Goodall
City Secretary
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Ordinance Designating Tax Abatement Reinvestment Zone Number One Hundred Fifteen, City or Fort Worth, Texas
Page 3 of 3
EXHIBIT "A"
BOUNDARY DESCRIPTION OF THE ZONE
BEING A TRACT OF LAND SITUATED IN THE G. OVERTON SURVEY, ABSTRACT
NUMBER 972, THE A.W. ROBERTSON SURVEY, ABSTRACT NUMBER 1553 AND THE
L.A. BUTLER SURVEY, ABSTRACT NUMBER 64, DENTON COUNTY, TEXAS, AND
BEING A PORTION OF THAT TRACT OF LAND DESCRIBED BY DEED TO ALLIANCE
WESTPORT NO. 24, LTD., RECORDED IN INSTRUMENT NUMBER 2024-112337, REAL
PROPERTY RECORDS, DENTON COUNTY, TEXAS, AND BEING MORE
PARTICULARLY DESCRIBED BY METES AND BOUNDS AS FOLLOWS;
COMMENCING AT A 518 INCH IRON ROD WITH PLASTIC CAP STAMPED "PELOTON"
FOUND IN THE WEST LINE OF THE REMAINDER OF THAT TRACT OF LAND
DESCRIBED BY DEED TO AIL INVESTMENT, L.P., RECORDED IN INSTRUMENT
NUMBER 2019-99456. SAID REAL PROPERTY RECORDS, AND BEING THE
NORTHWEST CORNER OF LOT 1, BLOCK 2, WESTPORT ADDITION, AN ADDITION TO
THE CITY OF FORT WORTH, RECORDED IN INSTRUMENT NUMBER 2023-112, PLAT
RECORDS, DENTON COUNTY, TEXAS, AND BEING IN THE EAST RIGHT-OF-WAY
LINE OF BLUE MOUND ROAD, RECORDED IN SPECIAL WARRANTY DEED TO THE
CITY OF FORT WORTH, INSTRUMENT NUMBER 2017-110923, SAID REAL PROPERTY
RECORDS, ALSO BEING THE BEGINNING OF A CURVE TO THE RIGHT;
THENCE CONTINUING WITH THE WEST LINE OF SAID REMAINDER AND THE EAST
RIGHT-OF-WAY LINE OF SAID BLUE MOUND ROAD, ALONG SAID CURVE TO THE
RIGHT, AN ARC DISTANCE OF 774.42 FEET, THROUGH A CENTRAL ANGLE OF
09053'46", HAVING A RADIUS OF 4483.66 FEET, THE LONG CHORD WHICH BEARS N
16030'28"E, 773.45 FEET, TO A 5/8 IN IRON ROD WITH PLASTIC CAP STAMPED
"PELOTON" FOUND, AT THE SOUTHWEST CORNER OF SAID ALLIANCE WESTPORT
NO. 24 TRACT, BEING THE BEGINNING OF A CURVE TO THE RIGHT, AND BEING THE
POINT OF BEGINNING;
THENCE CONTINUING WITH THE WEST LINE OF SAID WESTPORT 24 TRACT, AND
THE EAST RIGHT-OF-WAY LINE OF SAID BLUE MOUND ROAD, ALONG SAID CURVE
TO THE RIGHT, AN ARC DISTANCE OF 1570.85 FEET, THROUGH A CENTRAL ANGLE
OF 20°04'25", HAVING A RADIUS OF 4483.66 FEET, THE LONG CHORD WHICH BEARS
N 31029'33"E, 1562.83 FEET, FROM WHICH A TXDOT MONUMENT FOUND, BEARS N
02009' 10"W, 0.12 FEET;
THENCE N 41 °31'45"E, CONTINUING WITH SAID WEST LINE, BEING THE EAST
RIGHT-OF-WAY LINE OF BLUE MOUND ROAD, IN ALL 844.17 FEET TO A 5/8 INCH
IRON ROD WITH PLASTIC CAP STAMPED "'WESTWOOD", SET AT THE SOUTHWEST
CORNER OF THAT TRACT OF LAND DESCRIBED BY DEDICATION DEED TO THE CITY
OF FORT WORTH, RECORDED IN INSTRUMENT 2025-7487, SAID REAL PROPERTY
RECORDS;
THENCE 85020' 14"E 50.00 FEET, TO A 5/8 INCH IRON ROD WITH PLASTIC CAP
STAMPED "WESTWOOD" SET, BEING IN THE SOUTHEASTERLY LINE OF THAT
TRACT OF LAND DESCRIBED BY DEDICATION DEED TO THE CITY OF FORT WORTH,
RECORDED IN INSTRUMENT NUMBER 2025-7487, SAID IN REAL PROPERTY
RECORDS;
THENCE 48027'55"E, WITH THE NORTH LINE OF THE AFOREMENTIONED ALLIANCE
WESTPORT NO. 24 TRACT, AT 1150.73 FEET, PASSING THE SOUTHEAST CORNER OF
SAID DEDICATION 1150.73 FEET, IN ALL 1388.27 FEET TO A 518 INCH IRON ROD WITH
PLASTIC CAP STAMPED "PELOTON" FOUND, BEING THE NORTHEAST CORNER OF
SAID ALLIANCE WESTPORT NO. 24 TRACT;
THENCE S 04015'07"W, 144.00 FEET, TO A 518 INCH IRON ROD WITH PLASTIC CAP
STAMPED "'WESTWOOD" SET IN THE EAST LINE OF SAID WESTPORT NO. 24 TRACT;
THENCE N 48007'52"W, 175.02 FEET, DEPARTING THE EAST LINE OF SAID ALLIANCE
WESTPORT NO. 24 TRACT, TO A 5/8 INCH IRON ROD WITH PLASTIC CAP STAMPED
"'WESTWOOD" SET;
THENCE S 41°32'05"W, 1557.41 FEET, TO A 5/8 INCH IRON ROD WITH PLASTIC CAP
STAMPED "PELOTON" SET IN THE SOUTH LINE OF THE SAID WESTPORT NO. 24
TRACT;
THENCE WITH THE SOUTH LINE OF SAID WESTPORT NO. 24 TRACT. THE
FOLLOWING BEARINGS AND DISTANCES:
S 78009'48"W, 868.23 FEET, TO A 5/8 INCH IRON ROD WITH PLASTIC CAP
STAMPED
"PELOTON" FOUND;
N 48027'55"W, 425.81 FEET, TO A 5/8 INCH IRON ROD WITH PLASTIC CAP
STAMPED
"PELOTON" FOUND;
THENCE N 68032'04"W, 132.08 FEET TO THE POINT OF BEGINNING AND CONTAINING
2,884,717 SQUARE FEET OR 66.224 ACRES OF LAND MORE OR LESS.
FORT WORTHS
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Tax Abatement Reinvestment Zone No. 115
15060 Blue Mound Rd. — 66 acres
Fort Worth TX 76052 "Exhibit A"
-/Z
Tx,
Copyright 2026 City of Fort Worth. Unauthorized reproduction is a violation of applicable laws. This product is for informational purposes and may not have been
prepared for or be suitable for legal engineering or surveying purposes. It does not represent an on -the -ground survey and represents only the appropriate relative
location of property boundaries. The City of Fort Worth assumes no responsibility for the accuracy of said data.
City of Fort Worth, Texas
Mayor and Council Communication
DATE: 02/10/26 M&C FILE NUMBER: M&C 26-0117
LOG NAME: 17STELLAR TA
SUBJECT
(CD 10) Conduct Public Hearing and Adopt an Ordinance Designating Tax Abatement Reinvestment Zone No. 115; Authorize Execution of a Ten -
Year Tax Abatement Agreement with Stellar Energy Americas, Inc., or an affiliate, for Development of a Manufacturing Facility to be Located on
Property within Tax Abatement Reinvestment Zone No. 115 at 15060 Blue Mound Road, Fort Worth, Texas, in Denton County
(PUBLIC HEARING - a. Staff Available for Questions: Cherie Gordon; b. Public Presentations; c. Council Action: Close Public Hearing and Act on
M &C)
RECOMMENDATION:
It is recommended that the City Council:
1. Conduct a public hearing concerning the designation of Tax Abatement Reinvestment Zone No. 115, City of Fort Worth, Texas, Denton
County, for property located at 15060 Blue Mound Road, consisting of approximately 66 acres of land, for the development of
a manufacturing facility by Stellar Energy Americas, Inc., or an affiliate;
2. Find that the intended manufacturing facility development and related improvements, as set forth in more detail below, are feasible
and practical and would be a benefit to the land to be included in Tax Abatement Reinvestment Zone No. 115 and to the City after the
expiration of any tax abatement agreements;
3. Adopt the attached ordinance designating Tax Abatement Reinvestment Zone No. 115, City of Fort Worth, Texas, pursuant to and in
accordance with Chapter 312 of the Texas Tax Code;
4. Find that the proposed tax abatement agreement terms meet the criteria and guidelines set forth in the City of Fort Worth's General Tax
Abatement Policy (Resolution No. 6222-12-2025); and
5. Authorize the execution of a ten-year tax abatement agreement with Stellar Energy Americas, Inc., or an affiliate, for the development of a
manufacturing facility to be located on property at 15060 Blue Mound Road, Fort Worth, Texas, Denton County, in Tax Abatement
Reinvestment Zone No. 115
DISCUSSION:
The purpose of this Mayor and Council Communication is to (1) designate a new Tax Abatement Reinvestment Zone (TARZ No. 115); and
(2) authorize a ten-year tax abatement agreement with Stellar Energy Americas, Inc., or an affiliate (collectively, the Company) for the development
of a manufacturing facility within TARZ No. 115.
Company is a U.S. energy company based out of Jacksonville, Florida. Company is proposing to develop a new facility to manufacture modular
cooling equipment for the domestic hyperscale data center market on approximately 66 acres with a building of at least 1,148,942 square feet
located at 15060 Blue Mound Road, Fort Worth, Texas (Project Site).
The City proposes to enter into a tax abatement agreement with the Company to facilitate development of the Project Site. The tax abatement will
be tied to the amount of investment made by the Company and satisfaction of other project and spending requirements as follows:
Investment and Companv Commitments:
1. Company must expend a minimum of $34,000,000.00 in total construction costs for real property improvements at the Project Site on or
before December 31, 2026;
2. Company must install taxable business personal property (BPP) that is new to the City at the Project Site having a minimum assessed
taxable value of $45,500,000.00 by January 1, 2027;
3. Company will forfeit the tax abatement if the total investment for real property improvements and BPP is not timely pursuant to the terms of
the tax abatement agreement;
4. Company must provide a minimum of 1,420 additional full-time jobs at Project Site on or before December 31, 2027, and maintain that level
for the duration of the tax abatement agreement, with average salary of at least $78,000.00 (Employment Commitments). The annual
tax abatement will be forfeited for any year in which the Employment Commitments are not met; and
5. Company voluntarily commits to expend by the project completion deadline at least 30% of all real property improvement costs, both hard
and soft costs, with Small Businesses (Small Business Commitment). "Small Business" means a business entity located in Tarrant, Wise,
Johnson, Parker, or Denton County that holds certification as a small business from an organization approved by the City Manager (City
Ordinance No. 27832-08-2025). If Company does not meet the Small Business Commitment, subject to availability and terms of the tax
abatement agreement, the tax abatement shall be reduced by 10%.
Citv Commitments:
1. The City will enter into a tax abatement agreement with the Company for a term of ten years;
2. The amount of incremental City ad valorem and BPP taxes to be abated in a given year will be equal to up to sixty percent (60%) on
completed real property improvements and BPP at the Project Site;
The tax abatement is subject to Company meeting the performance requirements stated above and as specifically detailed within a tax abatement
agreement.
The project will result in an estimated $4,797,189.00 in new incremental property tax to the City associated with the Project being reduced by
$2,878,314.00, resulting in the collection of $1,918,876.00 in net new incremental property tax revenue over the ten-year period following project
completion.
Reinvestment Zone:
TARZ No. 115 will consist of 66 acres located at 15060 Blue Mound Road Fort Worth, Texas and is more particularly described in Exhibit A to the
attached Ordinance.
Designating this area as a reinvestment zone allows the City the option to enter into a tax abatement agreement with the Company to help
facilitate development on the Project Site.
Pursuant to Chapter 312 of the Texas Tax Code, a public hearing must be conducted regarding the creation or expansion of a Reinvestment Zone.
Notice of this hearing was delivered to the presiding officer of the governing body of each affected taxing unit and published in a newspaper of
general circulation at least seven days prior to this hearing.
Pursuant to Chapter 312 of the Texas Tax Code, the area within the proposed TARZ No. 115 meets the statutory criteria for designation as a Tax
Abatement Reinvestment Zone because the area is likely, as a result of the designation, to contribute to the retention or expansion of primary
employment or to attract major investment in TARZ No. 115 that would be a benefit to the property and that would contribute to the economic
development of the City. Further, the proposed improvements and investments at the Project Site are feasible and practical and would be a benefit
to the land to be included in TARZ No. 115 and to the City after the expiration of any tax abatement agreement.
The term of TARZ No. 115 will be five years from the date of adoption of the attached Ordinance and may be renewed for periods not to exceed
five years each unless otherwise allowed by law.
The project is located in COUNCIL DISTRICT 10.
FISCAL INFORMATION / CERTIFICATION:
The Director of Finance certifies that approval of this Tax Abatement Agreement will have no material effect on the Fiscal Year 2026 Budget. While
no current year impact is anticipated from this action, any effect on revenues will be incorporated in long-term financial forecast upon the Tax
Abatement being officially granted.
Submitted for Citv Mananer's Office bv: Jesica McEachern 5804
Oriainatina Business Unit Head: Jessica Rogers 2663
Additional Information Contact: Cherie Gordon 6053