HomeMy WebLinkAboutOrdinance 15304ORDINANCE NO. /4~5~~
AN ORDINANCE APPROVING AMENDED AND RESTATED
PROJECT FINANCING PLANS FOR TAX INCREMENT
REII\(VESTMENT ZONE NUMBER TWO, CITY OF FORT WORTH,
TEXAS (SPEEDWAY TIF); MAKING VARIOUS FINDINGS
RELATED TO SUCH AMENDED AND RESTATED PLANS;
CLARIFYING THE POWERS OF THE BOARD OF DIRECTORS OF
THE ZONE; PROVIDING FOR SEVERABILITY; AND PROVIDING
AN EFFECTIVE DATE.
V6TETEREAS, on December 19, 1995 the City Council of the City of Fort Worth (the
"City") established Tax Increment Financing Reinvestment Zone Number Two, City of Fort
Worth, Texas (Speedway TIF) (the "Zone") pursuant to Ordinance No. 12323 and as
authorized by Chapter 311 of the Texas Tax Code (the "Act"); and
WHEREAS, the City Council approved project and financing plans for the Zone
pursuant to Ordinance No. Ordinance No. 13889 (adopted August 10, 1999) (collectively the
"flans"); and
WHEREAS, pursuant to 311.011(e) of the Act, the board of directors of the Zone
may at any time adopt an amendment to the plans; and
WHEREAS, as authorized by Section 311.011(e) of the Act, on September 6, 2002
the board of directors of the Zone (the "Board") adopted an amended and restated project
plan and an amended and restated financing plan, both of which are attached hereto as
Exhibit "A" (collectively the "Amended Plans"), and recommended that the Amended
Plans be approved by the City Council;
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE
CITY OF FORT WORTH, TEXAS:
Page 1
Ordinance Approving the Amended and Restated Project Plan 2002 and the Amended and Restated Financing Plan 2002
Tax Increment Reinvestment Zone Number Two,
City of Fort Worth, Texas
Section 1.
FININGS.
That 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.
1.2. The Amended Plans include all information required by Sections 311.011(b) and (c)
of the Act.
1.3. The Amended Plans are feasible and the amended and restated project plan
conforms to the City's master plan.
1.4. Consistent with Section 311.011(e) of the Act, a public hearing is not required prior
to the adoption of this Ordinance because the Amended Plans do not (i) reduce or
increase the geographic area of the Zone; (ii) increase the tax increment to be
contributed by a taxing unit; (iii) increase the total estimated project costs; or (iv)
designate additional property in the Zone to be acquired by the City.
Section 2.
APPR®VAL ®F AM]CNEI) PLANS.
That based on the findings set forth in Section 1 of this Ordinance, the Approved
Plans are hereby approved.
Page 2
Ordinance Approving the Amended and Restated Project Plan 2002 and the Amended and Restated Financing Plan 2002
Tax Increment Reinvestment Zone Number Two,
City of Fort Worth, Texas
Section 3.
POWERS OF BOARD OF DIRECTORS.
That the Board will continue to have all powers granted to it under Section 311.010 of
the Act and all powers granted to the City under Section 311.008 of the Act except that the
Board shall not have the power (i) of eminent domain; (ii) to issue bonds or notes; (iii) to
impose taxes or fees; or (iv) to restrict the use or uses of property in the Zone. The Board's
chairperson shall have the authority to execute agreements that the Board is lawfully allowed
to enter into and that the Board considers necessary or convenient to implement the Amended
Plans.
Section 4.
DELIVERY OF AIVIENDED PLANS TO TAXING ENTITIES.
That the City Manager is hereby directed to provide a copy of the Amended plans to
the governing body of each taxing unit that taxes real property located in the Zone.
Section 5.
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 3
Ordinance Approving the Amended and Restated Project Plan 2002 and the Amended and Restated Financing Plan 2002
Tax Increment Reinvestment Zone Number Two,
City of Fort Worth, Texas
Section 6.
EFFECTIVENESS.
That this Ordinance shall take effect and be in full force and effect from and after its
adoption.
AND IT IS SO ORDAINED.
ADOPTED AND EFFECTNE: /D -Z ~J- OZ
APPROVED AS TO FORM AND LEGALITY:
By:
Peter Valcy
Assistant City Attorney
Date: /U-3/-02
M&C: G-13'76 6
Page 4
Ordinance Approving the Amended and Restated Project Plan 2002 and the Amended and Restated Financing Plan 2002
Tax Increment Reinvestment Zone Number Two,
City of Fort Worth, Texas
Exhibit "A"
Tax Increment Reinvestment Zone Number Two
City of Fort Worth, Texas
Amended. and 1Zestated
~' ®JE~T PLAN
As of September 2002
I. Intr®duet~®n ~i B ackgr®und
In October 1995, the City of Fort Worth received a petition from the property owner requesting a 9S0 acre
tract of land (generally located on the northwest corner of the intersection of State Highway 114 and I-
3SW) be designated as a reinvestment zone for tax increment financing ("TIF") purposes in support of the
development of the. Texas Motor Speedway ("Speedway"). Exhibit "A" is a survey plat of the Speedway
area.
_ The Speedway is a 1,200-acre development including a 1.S-mile racing oval and seating for up to 150,000
spectators. As a component of the development, the FW Sports Authority, Inc. ("Sports Authority"), a
nonprofit industrial development corporation created under authority of Texas law by the City of Fort
Worth, will own the Speedway. The primary purpose of Fort Worth Tax Increment Reinvestment Zone
Number Two (TIF 2) is to provide a mechanism for the purchase of the facility as a public improvement
by the Sports Authority and to provide for the development of future public improvements within the TIF
2 boundary.
On October 17, 1995, the Fort Worth City Council passed Resolution No. 2100 which set December 19,
1995 as the date for a public hearing to be held before the City Council regarding the designation of this
property as a reinvestment zone. At the conclusion of the public hearing, the City Council adopted
Ordinance Number 12323 creating the 568.41 acre Tax Increment Reinvestment Zone Number Two (TIF
2) which was determined by the Denton County Appraisal District (DCAD) to have a value of
$2,842,OS0.00. The City of Fort Worth and Denton County were the only taxing entities participating in
TIF 2. The Denton County participation agreement is included in Appendix "A." Because the City of Fort
Worth established the TIF zone, it was assumed that the municipality would be contributing increment to
the TIF; therefore, it was not necessary for the City to enter into a participation agreement with itself.
The Zone tools effect on January 1, 1996 and is scheduled to terminate on December 31, 2035 or at an
earlier time designated by subsequent ordinance of the City Council.
Subsequent to the formation of the zone, on May 21, 1999, the City of Fort Worth received a petition from
Northwest Independent School District and Beechwood Business Park Joint Venture, Beechwood
Hospitality Development, L.P., Beechwood Golf Development, L.P., and Roanoke Ranch and Investment
Company, property owners of 921.41 acres of land contiguous to the original boundaries of Tax Increment
Reinvestment Zone Number Two, City of Fort Worth, Texas, requesting that Tax Increment Finance Zone
Number Two be expanded to include these acres. On August 10, 1999, City Council adopted Ordinance
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended and Restated Project Plan 2002 Page 1 of 9
Exhibit "A"
Number 13889 which expanded TIF 2 by 921.41 acres and making the total TIF 1,489.82 acres. The base
appraised value of -the expansion area, determined by the Tarrant Appraisal District (TAD), is
$3,413,543.00.
The TIF 2 expansion provides for the construction, renovation, and operation of educational facilities
located in the Northwest ISD tract. The educational facilities are intended to be jointly used by Northwest
ISD and the City of Fort Worth in accordance with the terms of their TIF 2 participation agreement. The
educational facilities projects include: (1) costs of operation of facilities within the Tax Increment Finance
zone (school years 2002-2003 through 2009-2010) and the natatorium operational expenses (school years
2010-2011 through 2025-2026), (2) natatorium and related infrastructure, and (3) establishment of a
financial reserve.
The TIF 2 expansion further provides for possible infrastructure improvements that include: (1)
transportation improvements to State Highway 114 and State Highway 156, Interstate Highway 3SW,
frontage roads, feeder roads, access roads, and arterial streets and other public roads and streets within the
TIF reinvestment zone, (2) drainage work as required, (3) additional traffic related signs and signalization,
and (4) other public improvements in the TIF reinvestment zone as maybe approved by the Board and the
Fort Worth City Council.
The primary purpose for the 1999 expansion of Fort Worth Tax Increment Reinvestment Zone Number
Two was to provide a mechanism for the development of necessary infrastructure and to fund joint use
educational facilities as public improvements.
The original estimated construction value of initial improvements proposed in the Beechwood tracts was
$S8 million. Initial private investments and improvements completed to date include the 300-room
Beechwood Westin Hotel and a golf course. As of the preliminary valuation reports prepared by TAD on
July 2S, 2002, the expanded TIF area which includes the Beechwood properties has a 2002 taxable value
of $2S,S7S,282 (Exhibit "B").
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended and Restated Project Plan 2002 Page 2 of 9
Exhibit "A"
II. Existing ITses ~ C®nciiti®ns
A. ®riginal TIF Area
Depicted in Exhibit "C" is the area that encompasses the original TIF 2 reinvestment zone. At the
time the petition seeking creation of the Zone was submitted to the City, the use of the property was
agricultural, was not serviced by any utility infrastructure, and had no street or drainage
infrastructure within TIF boundaries.
~. 1999 Expansion Area
Depicted in Exhibit "D" is the area of the 1999 expansion. The Northwest ISD tract was and is
currently used for public school district educational and operational facilities. The Northwest ISD
tract includes the following facilities: High School, Gene Pilce Middle School, W.R. Hatfield
Elementary School, Northwest Alliance Academy (NAA), Northwest ISD central administration and
support center, bus transportation operations facility, Northwest ISD maintenance facility, and the
Northwest ISD Athletic Complex. The property includes infrastructure to support the uses listed
above, including water and sewer facilities, drainage improvements and road and parking
improvements.
The use of the Beechwood tract was classified as agricultural when the expansion petition was
submitted. The area was a completely undeveloped greenfield that did not have any utility
infrastructure nor any street or drainage infrastructure. Since the expansion, infrastructure has been
installed which helped to facilitate the development of the Beechwood Westin Hotel and a golf
course on the property.
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended and Restated Project Plan 2002 Page 3 of 9
~Xhiblt ccA»
III. Proposed Improvements .And. Uses
A. The ®riginal TIF 2 Project
As stated previously, the Zone was created to support the development of the Texas Motor
Speedway. The use of TIF 2 increment in support of the development of the Speedway will be as
outlined in the Master Agreement between the City of Fort Worth and Texas Motor Speedway,
Inc. ("TMS"). Per the agreement, the City of Fort Worth, through the Sports Authority and using
TIF 2 increment, will purchase the Speedway (referred to as the "Initial Improvements" in the
Master Agreement) over the life of TIF 2 for a total price not to exceed $20 million. The ability of
Sports Authority to secure TIF increment for the purchase of the facility is outlined in the Master
Agreement and is directly tied to TMS contracting with Fort Worth and certified Fort Worth
Minority and Women-Owned Enterprises. TIF' increment not secured as payment for the purchase
of the Speedway will be used for future improvements of the public facility and public
infrastructure within the TIF 2 boundaries as outlined in the Amended and Restated Financing
Plan 2002.
The Speedway is a 1,200 acre development which was projected to include a 1.5 mile racing oval,
seating for 150,000 spectators, 205 luxury suites, concessions, ticket booths, garage areas, souvenir
facilities, hospitality tents, a kitchel~/catering facility, shower/restroom facilities, an on-site
hospital, and other developments. The cost of the initial development of the Speedway was
estimated as $110 million. TMS, a fully owned subsidiary of Speedway Motorsports, Inc. will be
responsible for financing all initial improvements. Exhibit "E" shows the proposed improvements
and layout of the Speedway.
P. Initial Improvem ents
1. ®riginal 'rIF 2 Area: 'rhe Speedway
At the heart of the Speedway is a 1.5 mile oval racing track with four 24 degree banked
turns to accommodate both Indy car and stock car racing. Approximately 150,000
grandstand seats surround the track. Concession areas, ticket windows, and entrance gates
have been constructed around the perimeter of the main oval.
Above the grandstands between turns 1 and 4 are 205 luxury suites. These air conditioned,
fully furnished suites offer dining facilities, restaurant style catering, large screen
televisions and an excellent view of the race from a point high above the Speedway. These
suites are accessed via several elevator towers.
The infield area (inside the 1.5-mile oval) includes a number of facilities. Auto garage
facilities for race event preparation, an area for a tire mounting facility and a fueling station
to be operated by Unocal. In addition to the "Winner's Circle," a small quarter (.25) mile
track accommodates "Legends Car" racing events. The infield also houses an onsite
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended and Restated Project Plan 2002 Page 4 of 9
Exhibit "A"
hospital for race contestants, and complete shower/restroom facilities. Finally, a "Road
Course" (length to be determined) will support smaller club racing events and possibly
International Motor Sports Association (IMSA) racing events and possibly Sports Car Club
of America (SCCA) type racing events.
The initial improvements also include akitchen/catering facility, souvenir shops, and
hospitality tents. A 10,000 square foot office building located adjacent to the facility is
used primarily for administrative purposes.
Construction of the initial improvements began in August of 1995, with the initial
NASCAR race held at the Speedway in April 1997.
2. Expanded TIF' 2 Area: Beechwood Property
The estimated construction value of proposed private improvements in the Beechwood
tract was $58 million. Private investments and improvements include a 300-room Westin
Hotel and a Greg Norman designed golf-course with private access roads and related
infrastructure.
The Beechwood project is the first combination hoteUgolf-course resort in Fort Worth.
The 250,000 square foot hotel includes a conference center, ballrooms, health club, retail
sites, and full-service restaurant. The improvements are designed to service the needs of
Texas Motor Speedway and golf course patrons, as well as promote the development of the
Fort Worth site and surrounding area as one of the country's premier recreational, business,
residential, and retail sites.
C: Future Improvements a'ad Projects
TIF 2 was expanded to help support the development of necessary infrastructure for the
original area (often referred to as TIF 2A) and the expanded area (often referred to as TIF' 2B)
and to fund jointly used educational facilities as public improvements. The use of the TIF 2
increment is outlined in (1) the participation agreement between the City of Fort Worth and
Northwest ISD (Appendix "A"); and (2) the participation agreement and amendments thereto
between the City of Fort Worth and Denton County (Appendix "A"); and (3) the Master
Agreement and amendments thereto between the FW Sports Authority and Texas Motor
Speedway, Inc. (Appendix "B").
TIF 2 increment, generated from property located in the TIF 2A area and contributed by the
City of Fort Worth and Denton County for the purchase of the Texas Motor Speedway and for
future public improvements, will continue to be used as originally outlined and as identified in
the Amended and Restated Financing Plan 2002.
Per the participation agreement between the City of Fort Worth and Northwest ISD, the
Northwest ISD TIF 2 increment generated from property located in the TIF 2A area and TIF
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended and Restated Project Plan 2002 Page 5 of 9
Exhibit "A"
2B area will be used to pay for the project costs of the necessary infrastructure and jointly used
education facilities, including costs of operation as outlined in the Amended and Restated
Financing Plan 2002. In general, Northwest ISD will contribute 100% of its TIF 2 increment
and will be reimbursed 66 Z/3% of its total contribution to pay for project costs of the
educational facilities. The balance of the Northwest ISD funds contributed to the TIF 2, 33
i/3% of its total contribution, will be used to pay for projects and improvements within and
near the TIF 2 area.
1. ®riginal TIF 2 Area: The Speedway
Future improvements to the Speedway are being contemplated. However, the timing of
these improvements is dependent upon a number of factors, primarily market conditions,
race demands, and the presence of adequate transportation infrastructure.
Project improvements that could occur on public facilities and infrastructure could include:
additional parking facilities for the public; general upkeep of existing facility items worn
over time; upgrade of the public address system; and additional public infrastructure within
the TIF 2 boundaries. A complete list of proposed projects is included in Exhibit "F"
Private investment and improvements that have been completed include corporate offices
for TMS and private condominiums with views of the racetrack. Both the corporate office
tower and the condominiums have been completed and are occupied.
Additional future private developments may include additional office space, a "Legends
Car" manufacturing facility, and an industrial park including distribution (warehouse) and
manufacturing facilities.
Tax increment for TIF 2 is dependent on this private development; the TIF funds available
for the purchase of the Speedway and upgrade of public facilities will be dependent on the
cost and timeliness of these investments.
2. Expanded TIF 2 Area: Beechwood Property
Future improvements on the Beechwood tract could include an. office and retail
development adjacent to the proposed Westin Hotel. This development could include pad
sites for both restaurant and retail merchants. Additionally, future plans call for an upscale
350-unit apartment community to provide residential product to the area.
3. Expanded TIF 2 Area: Northwest Independent School District (Northwest ISD)
The proposed projects for the expanded TIF 2 area include the construction and renovation
of educational facilities located in the Northwest ISD tract. The educational facilities will
be jointly used by Northwest ISD and the City of Fort Worth in accordance with the terms
of their participation agreement (Appendix "A"). The educational facilities projects
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended and Restated Project Plan 2002 Page 6 of 9
Exhibit "A"
include: (1) costs of operation of facilities within the Tax Increment Finance zone (school
years 2002-2003 through 2009-2010) and the natatorium operational expenses (school
years 2010-2011 through 2025-2026), (2) natatorium and related infrastructure, and (3)
establishment of a financial reserve. The cost of projects for the educational facilities,
including cost of operation, is an estimated $21,291,718.00. Exhibit "G" contains a list of
the proposed Northwest ISD projects. The financing for the project costs of the
educational facilities will be the responsibility of Northwest Independent School District.
TIF 2 increment will be used as a portion of the overall financing for the total cost of
projects outlined in this section and in the .Amended and Restated Financing Plan 2002.
The portion of TIF 2 increment to be used to finance these improvements will be the 66
2/3% of the Northwest ISD increment deposited into the TIF 2 fund and reimbursed to
Northwest ISD in accordance with the participation agreement between the City of Fort
Worth and Northwest ISD.
4. Infrastructure and ®ther (Non-educational facility) Public Improvements
The TIF 2 expansion further provides for infrastructure improvements that include: (1)
transportation improvements to State Highway 114, State Highway 156, Interstate Highway
35W, frontage roads, feeder roads, access roads, and arterial streets and other public roads
and streets within the TIF reinvestment zone, (2) drainage work as required, (3) additional
traffic related signs and signalization, and (4) other public improvements in the TIF
reinvestment zone as may be approved by the TIF' 2 Board and the Fort Worth City
Council. A list of proposed projects can be found in the Amended and Restated Financing
Plan 2002.
Fort Worth Tax Increment Reinvestrnent Zone Number 2: Amended and Restated Project Plan 2002 Page 7 of 9
Exhibit "A"
IV. I~®n-Pr®~ect C®sts
The Speedway is the second largest sporting venue in the United States. In support of the initial
development of the Texas Motor Speedway, the City of Fort Worth provided financial support for two
public works projects.
The City of Fort Worth financed the building of a ring road that encircles the track. This road is a traffic
feeder to provide visitors easy access between interstate and state highways. and the venue. The City of
Fort Worth expended approximately $4.1 million, or 58% of the cost to construct the ring road.
The second public works project which is not part of the TIF 2 project costs is the extension of water and
wastewater lines to serve the development. The City of Fort Worth spent approximately $4 million to
provide water and wastewater service to the Speedway. The extension of these lines will open a large area
to new development not previously served by water and wastewater.
No non-project public improvements to be born by the City of Fort Worth are expected in the expanded
TIF 2 area.
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended and Restated Project Plan 2002 Page 8 of 9
Exhibit "A"
V. IZelocat~on Plan
As set forth in Section 311.011 in the Tax Increment Financing Act of the Texas Tax Code, this Restated
and Amended Project Plan 2002 recognizes that there has not been and anticipates that there will not be
any residences or businesses existing in the project development area of the reinvestment zone when
development activities commence. If actions by the TIF result in relocation of any persons, the
Residential Anti-displacement and Relocation Assistance Plan for the City of Fort Worth (Exhibit "H")
will govern their relocation.
While the need for relocation is not envisioned during the term of TIF 2, relocation of individuals was
necessary in acquiring property for the development of the Speedway. The costs associated with the
relocation of property owners are the obligation of the TIF 2 and are included in the purchase price to be
paid by TIF 2 to TMS.
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended and Restated Project Plan 2002 Page 9 of 9
EX~liblt ccA»
Tax Increment Reinvestment Zone Number Two
I. EC®10T®li~IIC IMPACT
A. Increased Tourism and Entertainment Related Business
1. Texas Motor Speedway
Auto racing, particularly stock car racing, is the largest growing spectator sport in America
according to newspaper and magazine publications (such as Forbes and Sports Illustrated).
Communities, which are home to large super speedways, have, in the past, experienced
significant increases in tourism and entertainment related business.
Past studies have shown that, unlike fans that attend games between professional sports teams,
45% of fans attending a major racing event are from outside the host city's metropolitan area.
TMS has confirmed that its recent experience substantiates this data.
Experience in other parts of the United States has established that fans reserve rooms in local
motels and hotels, eat in local restaurants, malce purchases from local retailers, and frequent other
entertainment venues.
A study commissioned by the Charlotte Convention and Visitor's Bureau, Charlotte, North
Carolina, found that out-of--town fans attending racing events at the Charlotte Motor Speedway
contribute $200 million to the local community annually. By way of comparison, the study
determined that the Carolina Panthers (NFL) and Charlotte Hornets (NBA) contribute a
combined $110 million annually. (This study was based on an estiraaate of direct spending by
race fans and did not include any estimates based on "multiplier effects ".)
Annual Economic Impact Comparison
Charlotte, N.C.
~z5u,u~
$200,0(
$150,0(
$100,0(
$50,0(
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended & Restated Financing Plan 2002 Page 1 of 13
Exhibit "A"
(Note: The calculation for the Carolina Panthers is an estimate of the economic impact of an NFL
franchise on the Charlotte area based on economic impact of NFL franchises in other cities. The
Carolina Panthers are currently playing outside the Charlotte area.)
2. Beachwood Developments
As a further boost to the tourism and recreation sectors of the area economy, the development of
a 300-room Westin Conference Hotel and a Greg Norman designed golf course add to the
amenities available. These developments help to make the overall TIF 2 area a destination for
tourists and entertainment seekers. The conference hotel could make the T1F 2 area a convention
destination as well.
B. Increased Tax Base
It is anticipated that there will be a substantial increase in taxable real property as a result of the
Speedway and Beachwood developments. This increase in taxable real property withal the TIF
will be the basis on which tax increment will be derived. It is estimated that this increase could
reach over $270 million by the end of the TIF 2 term, with over $120 million from the TMS
development and over $150 million from the Beachwood development.
As a result of this increase in taxable real property, the City of Fort Worth and Denton County,
which are not contributing increment in the expanded areas of TIF 2, could receive over $9
million in estimated tax revenue directly from private developments within the expanded T1F 2
area (Exhibit Table 1).
In addition to the real property improvements that will comprise the Speedway and Beachwood
developments, it is anticipated that the approximately $6 million in taxable personal property
(equipment, inventory & supplies) will be added to the local tax base. Combined tax revenues
levied on this personal property annually are estimated to average approximately $167,646
(Exhibit Table 2).
It was anticipated that the area immediately adjacent to TIF 2 and the surrounding property
would experience new development once the Speedway, the hotel and golf course became
operational. As expected, new development has included gas stations, convenience stores,
restaurants, hotels, motels, fast food chains, distribution operations, light industrial and office
developments. It is anticipated that in addition to the new development that is currently
operational, discount retail chains, automotive service centers, automotive supply (parts) stores,
and grocery stores will develop in the future.
In addition, certain automotive related industries are attracted to speedway sites. Tire and wheel
manufacturers, engine and transmission design and manufacturing firms, automotive and
motorcycle testing operations, and automotive restoration specialists would benefit from being
located in close proximity to the Speedway.
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended & Restated Financing Plan 2002 Page 2 of 13
Exhibit "A"
As a direct result of the events to be held at the Texas Motor Speedway, a large impact will be
felt in the local sales tax revenues. The City of Fort Worth receives sales tax revenue for its
General Fund, Crime Control and Prevention Fund, and The Transportation Authority ("The T").
An estimate of the amount of sales tax to be generated can be found on Exhibit Table 3.
Beyond the direct tax base impact from the investment due to the construction of the facilities at
both the Texas Motor Speedway and in the Beechwood development, the tax bases of all local
taxing jurisdictions will receive indirect benefits associated with infrastructure improvements and
investments in educational facilities detailed in the Amended and Restated Project Plan 2002.
These benefits are multiple. First is the rise in property value when improvements are made to
the infrastructure in a community. With better roads and drainage systems, access to property
becomes more readily available which in turn makes the property more desired by developers.
Secondly, improvements and investment in educational facilities generally tend to lead to a better
overall educational system. As a consequence of this, it is anticipated that an increase in
residential development will occur in the area. Individuals and families are often attracted to
school districts that are well regarded. Northwest Independent School District (Northwest ISD)
encompasses areas that are currently undeveloped. Strengthening the school system could
accelerate residential development in the area which will add wealth to the tax base of Northwest
ISD.
C'. .Employment ®pportunities
In addition to hundreds of jobs created during construction of the Speedway, Westin Hotel and
golf course, the total operations of the three combined developments could possibly employ up to
350 persons on a full time basis. During race events, as many as 6,000 persons are hired as
parking attendants, concession and catering attendants, program and souvenir salespersons, ticket
takers, security personnel, and to perform many other tasks.
In addition to employment at the Speedway, Westin Hotel and golf course, additional
employment opportunities will be generated due to increased usage of related tourism and
entertainment businesses that locate in the area. Furthermore, it is anticipated that overnight
express delivery services such as Federal Express will also have fully staffed facilities at the
Speedway. Also, medical personnel will be needed to staff the Speedway's on site hospital
facility.
D. 1G'und Raising ®pportunities
Local civic, religious, and educational organizations will have the opportunity to raise funds by
selling programs, working in concessions, or other race day activities. At other Speedway
Motorsports, Inc. (SMI) facilities, parent company of TMS, these types of organizations have
been able to raise substantial sums of money during race events.
E. vocational and Internship Opportunities
Students will have numerous opportunities for vocational and internship training. TMS and SMI
employ a number of persons who began as interns at other speedways located throughout the
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended & Restated Financing Plan 2002 Page 3 of 13
Exhabit "A"
country. Additionally, the inclusion of Northwest ISD in TIF 2 can lead to a variety of
partnerships between area developments and the school district involving vocational students and
possible internships.
F. Regional Economic Impact
A thorough assessment of the economic impact of the Texas Motor Speedway was conducted by
the University of North Texas' Center for Economic Development and Research. The study was
completed in 1996 and can be found in Appendix "C."
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended & Restated Financing Plan 2002 Page 4 of 13
Exhibit "A"
II. DESCI~IPTI®N ®F Pl2®JEC'I' IlVIPR®VElVIEl~tTS
A. Initial Speedway Improvements
The initial improvements proposed in the preliminary project plan were the development and
purchase of the Speedway. The 1,200 acre development included a 1.5 mile racing oval, seating
for 150,000 spectators, 205 luxury suites, concessions, ticket booths, garage areas, souvenir
facilities, hospitality tents, a leitchen/catering facility, shower/restroom facilities, an on-site
hospital, and other developments. The construction value of these improvements is described
below.
Projected Construction Cost for Texas Motor Speedway
($ in millions)
Land $10
Site Work ~ 12
Track, Walls, Fences 20
Restrooms, Offices, Concessions, Ticket Booths 20
150,000 Grandstand Seats 30
205 Suites 18
~'otal Construction Cost $110
p. Future Speedway .Improvements
Market conditions, race demands, and the need to upgrade facilities and infrastructure within the
TIF will determine future project improvements. Project improvements that could occur on
public facilities and infrastructure include: installation of additional grandstand seats, additional
parking facilities for the public; general upkeep of existing facility items; and additional public
infrastructure within the TIF boundaries. The proposed infrastructure projects, which total
$12,435,481.57, are included in Exhibit "F."
C'. Educational Facilities .Improvements
The educational facilities in the expansion project include: (1) costs of operation of facilities
within the Tax Increment Finance zone (school years 2002-2003 through 2009-2010) and the
natatorium operational expenses (school years 2010-2011 through 2025-2026), (2) natatorium
and related infrastructure, and (3) establishment of a financial reserve.
Per the participation agreement, any funds paid to the District which have not, in the year of
receipt, been expended for Zone School Project Costs may be retained by the District in a
separate reserve account maintained by the District for such purposes.
Fort Worth Tax Increment Reinveshnent Zone Number 2: Amended & Restated Financing Plan 2002 Page 5 of 13
Exhibit "A"
These projects, to the extent possible, shall be financed by the 66 z/3% increment deposited by
Northwest ISD into the TIF and reimbursed to Northwest ISD in accordance with the
participation agreement between the City of Fort Worth and Northwest ISD. The balance of any
projects shall be financed by Northwest ISD with revenue other than TIF funds. Estimated costs
of operating the educational facilities, natatorium, and establishment of a financial reserve are
described below and in Exhibit "G".
1. Costs of Operation of Facilities within the TIF $10,914,444
School Years 2002-03 through 2009-2010 $6,656,815
School Years 2010-11 through 2025-2026 $4,257,629
* Natatorium operational expenses - $266,102 per year
2. Natatorium and related infrastructure $ 9,056,000
School Years 2010-11 through 2025-2026
* Financing cost -approximately $566,000 per year for 16 years.
3. Financial Reserve $ 1,321,274
School Years 1999-2000 through 2001-2002
Total Cost of Educational Facilities Projects 21,291,718
1). ®ther Possible Future Infrastructure and Public Improvements
If actual TIF revenue exceeds the projections contained in this Amended and Restated Financing
Plan 2002, additional revenue will be available for other infrastructure and public improvement
projects. A list of possible projects to be considered by the TIF Board should additional revenue
be available is listed below.
1. Local Match for State Ilighway Projects
Expansion of Highway 156
Interchange Improvements at Highway 156 and Highway 114
Access ramps to I35W
Exit ramps to I35W
Purchase of Right-of--Way for projects
TOTAL
2. Construction of Arterial Streets and Roads
Construction of additional streets within TMS development
$ 1,000,000
$ 1,000,000
$ 2,250,000
$ 2,250,000
$ 1,000,000
$ 7,500,000.
$ 4,000,000
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended & Restated Financing Plan 2002 Page 6 of 13
Exhibit "A"
Construction of new arterial streets in expanded TIE (Beechwood area) $ 2,500,000
TOTAL $ 6,500,000.
3. Improvements to Current Arterial Streets and Roads
Improvements to arterial streets within the. TMS development $ 3,500,000
TOTAL $ 3,500,000.
4. Additional and Improved Signage
Improvements to current Signage within the TMS development $ 1,500,000
Additional signage throughout the TIF $ 4,000,000
TOTAL $ 5,500,000
5. Drainage Improvements and Infrastructure
Drainage and Infrastructure Improvements $12,140,385
TOTAL $12,140,385
6. Improvements to the '.TMS IDevelopment
Public Improvements on the TMS Development $ 9,000,000
TOTAL $ 9,000,000
COST SUMMARY OF POSSIBLE FUTURE INFRASTRUCTURE AND PUBLIC IMPROVEMENTS:
1. Local Match for State Highway Projects $ 7,500,000
2. Construction of Arterial Streets and Roads $ 6,500,000
3. Improvements to Current Arterial Streets and Roads $ 3,500,000
4. Additional and Improved Signage $ 5,500,000.
5. Drainage Improvements and Infrastructure $ 12,140,385
6. Improvements to the TMS Development $ 9.000,000
GRAND TOTAL: S 44,140,E
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended & Restated Financing Plan 2002 Page 7 of 13
]Exhibit "A"
III. All ~~~ lY1S.J~~ ~~®~~~~I®~S
A. Background
This section will outline the estimated tax increment to be derived from the TIF. As stated in the
Amended and Restated Project Plan 2002, the establishment of tax increment to provide funding
for the various projects is dependent on private investment within the TIF. The timeliness of
private investment, which is taxable within the TIF, dictates the financing of the purchase of the
Speedway, the construction of educational facilities, and infrastructure improvements.
The City of Fort Worth and Denton County have dedicated 100% of their respective tax
increment derived from the 568.41 acres in the original Speedway TIF to the TIF fund for the
purchase of Texas Motor Speedway and for additional public improvements within the Zone. Per
the terms of the participation agreement between the City of Fort Worth and Northwest ISD,
Northwest ISD has agreed, beginning with the 1999 tax year, to contribute school district tax
increment derived from private investment in the original Speedway TIF (TIF 2A) and in the
Speedway TIF expansion area (TIF 2B) to the TIF 2 fund.
The forecast of estimated TIF 2 increment is based on initial •and current development. However,
to provide conservative projections, zero am7ual appreciation of property is assumed.
B. Tax Increment Within the ®riganal Speedway TIF (TIF 2~1)
The initial developments within the TIF 2A area include a speedway valued at $110 million, a
luxury condominium tower valued at approximately $38 million, and the development of a
stadium club with an estimated value of $30 million.
The amount of tax increment in TIF 2A is derived from the incremental taxes dedicated by the
City of Fort Worth, Denton County, and Northwest ISD over the life of the TIF, which will go
toward the purchase of the Speedway. Projections indicate that over $48 million will be generated
(Revenue Projection Table 4). The City of Fort Worth and Denton County have dedicated 100%
of real property taxes on the increased taxable value within the TIF' 2A boundaries. The
dedication of these funds was memorialized through an inter-local agreement between both
entities (Appendix "A").
The terms upon which the Northwest ISD began to participate in the TIF 2 are set forth in the
participation agreement between the City of Fort Worth and Northwest ISD (Appendix "A"). In
general, Northwest ISD will contribute 100% of its tax increment to the TIF 2 fund from taxes
levied on real property located in the TIF 2A area and the TIF 2B area. Northwest ISD will be
reimbursed 66 2/3% of its total contribution to the TIF District Fund in accordance with the
participation agreement between the City of Fort Worth and Northwest ISD. The funds
reimbursed to the Northwest ISD will be used to fund the payment of project costs for
educational facilities located or to be located in the TIF 2B area and/or TIF 2A area. The balance
of the Northwest ISD funds contributed to the TIF fund, 33 1/3% of its total contribution, will be
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended & Restated Financing Plan 2002 Page 8 of 13
Exhibit "A"
used to fund project costs for infrastructure improvements to property located in the entire TIF 2
area.
The base value of the TIF 2A is $2,842,050. This is the appraised value of the real property
within the TIF boundaries at the time the TIF was created on December 19, 1995. The taxes
collected on this amount will continue to flow to each taxing entity even as tax increment is being
contributed.
The estimated total tax increment to be contributed by the City of Fort Worth and Denton County
to the TIF is $16,067,835. This amount is made up of $13,161,295 from City of Fort Worth
(Revenue Projection Table 1) and $2,906,540 from Denton County (Revenue Projection Table 2).
The estimated total tax increment to be contributed by Northwest ISD from taxes collected within
the TIF 2A area is $19,327,443 (Revenue Projection Table 3). Two-thirds (or 66 z/3%) of this
amount, $12,885,606 will be used to pay the project costs of the educational facilities described
in the .Amended and Restated Project Plan 2002. One-third (or 33 1/3%) of this amount,
$6,441,837 will be used to pay the project costs of infrastructure and other public improvements
described in the Amended and Restated Project Plan 2002 (Revenue Projection Table 5).
The estimated tax increment to be generated annually in total and from each taxing entity for both
TIF 2A and TIF 2B is outlined in Revenue Projection Table 4.
C: Tax .Increment Within the Expanded TIF 14rea (TIF 2B)
The initial developments in the TIF 2B area include a 300-room Westin Hotel estimated to be
valued at approximately $45 million and a Greg Norman designed golf-course estimated to have
a valued of approximately $14 million.
The tax increment will be derived from taxes levied on real property located in the TIF 2B area
Of the three taxing entities, only Northwest ISD will be contributing to TIF 2B. Northwest ISD
contributes 100% of its tax increment to the TIF 2B area. The dedication of these funds has been
memorialized through an inter-local agreement between the City of Fort Worth and Northwest
ISD (Appendix "A").
In the same manner as described above, 66 z/3% of the Northwest ISD TIF 2B tax increment will
pay for educational facilities project costs and 33 1/3% will pay for infrastructure and other public
improvement project costs.
The base value of the TIF 2B area, set by the Denton County Appraisal District, is $2,242,077.
This is the appraised value of the real property located in the expansion area in 1999, the year of
the enlargement of TIF 2. The taxes collected on the $2.2 million base value will continue to flow
to the taxing entities.
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended & Restated Financing Plan 2002 Page 9 of 13
Exhibit "A"
The estimated total tax increment derived from taxes levied on real property located in the TIF
2B area is $12,934,693 which comes from Northwest ISD (Revenue Projection Table 3). Two-
thirds of the estimated Northwest ISD TIF 2B tax increment, $8,623,560, will be used to pay
educational facilities project costs. One-third of the estimated Northwest ISD Speedway TIF
District Expansion tax increment, $4,311,133, will be used to pay for infrastructure and other
public improvements project costs (Revenue Projection Table 5).
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended & Restated Financing Plan 2002 Page 10 of 13
Exhibit "A"
IV. PIZ®JECT C®STS ANI) FIN~ICING
14. Background
This section will outline the method by which the Texas Motor Speedway will be purchased and
will provide an outline of the costs associated with purchase of the Speedway and other public
improvements within the TIF to be fmanced with tax increment. Additionally, this section
outlines the manner in which payments will be made to Northwest ISD for the financing of
educational facilities. At no time will the TIF use bonded indebtedness to finance any public
improvement project or educational facility. TIF 2 financing and spending will be strictly based
on annual increments secured and will follow the procedures set out in this document.
B. T1VIS' Purchase ~4greement
The City of Fort Worth, TMS, and the FW Sports Authority have entered into a series of
agreements concerning the development of the Speedway. These agreements outline the various
components involved and roles to be played by each entity in the development. One result of
these agreements was the-creation ofa TiF zone-to-provide a mechanism bywhich the FW Sports
Authority will purchase the Speedway and all related public infrastructure and property.
The Purchase Agreement between the Sports Authority and TMS outlines the procedure by which
TIF funds will be used to purchase the public improvements (Texas Motor Speedway). A copy of
the Purchase Agreement can be found in Appendix "D".
According to the Purchase Agreement, the Speedway will be completely financed by TMS then
purchased by the FW Sports Authority from TIF tax increment for a price not to exceed $20
million. For the purpose of this document, it is assumed that 100% of the TIF increment
dedicated by the City of Fort Worth and Denton County each year will go toward the purchase of
the Speedway until the purchase price is reached. As outlined in the Master Agreement between
the City of Fort Worth and TMS, the TIF will terminate 30 years from the date of its creation or
once the $20 million purchase price is reached, which ever occurs first. The termination must be
by ordinance of the City of Fort Worth City Council, since the ordinance establishing the zone set
the termination date as December 31, 2035, which is 10 years more than agreed upon in the
Master Agreement.
The distribution of funds for the purchase of the Speedway will be accomplished in a two step
process. First, TMS will be eligible to receive annual base payments from the increment
contributed by the City of Fort Worth and Denton County. These base payments will be
calculated, paid, and credited toward the purchase price on the following scale:
• For each of the tax years 1997 through 2001, the Annual Base payments during each
year shall be 80% of the amount deposited during each year, respectively, into the TIF.
• For each of the tax years 2002 through 2006, the Annual Base payments during each
year shall be 60% of the amount deposited during each year, respectively, in the TIF.
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended & Restated Financing Plan 2002 Page 11 of 13
Exhibit "A"
For each of the tax years 2007 through 2016, the Annual Base payments during each
year shall be 50% of the amount deposited during each year, respectively, in the TIF.
For each of the tax years 2017 through 2026, the Annual Base payments during each
year shall be 30% of the amount deposited during each year, respectively, in the TIF.
Second, TMS will be eligible to receive annual increment payments up to 100% in any given year
from the increment contributed by the City of Fort Worth and Denton County. The distribution
of these funds will be based on the goals set forth in the Purchase Agreement for contracting
opportunities between TMS and its subsidiaries and Fort Worth and certified Fort Worth based
Minority and Woman-owned Business Enterprises (MWBE). The targeted goals include the use
of Fort Worth companies for 25% and MWBE companies for 15% of all local discretionary
business opportunities.
The distribution of these funds will be made on the following schedule:
® For each of the tax years 1997 through 2001, the Annual Incremental Payment shall be
equal to 5% of the amount deposited during each year to the TIF for each 25% of the
targeted goal that is met.
For each of the tax years 2002 through 2006, the Annual Incremental Payment shall be
equal to 10% of the amount deposited during each year to the TIF' for each 25% of the
targeted goal that is met.
For each of the tax years 2007 through 2016, the Annual Incremental Payment shall be
equal to 12.5% of the amount deposited during each year to the TIF for each 25% of
the targeted goal that is met.
For each of the tax years 2017 through 2026, the Annual Incremental Payment shall be
equal to 17.5% of the amount deposited during each year to the TIF for each 25% of
the targeted goal that is met.
The TIF Board will review the annual contracting to determine the appropriate amount of the
annual increment payments to be distributed. Current estimates show that the $20 million will not
be reached before the termination date of the TIF 2 reinvestment zone, using only the increment
contributions from the City of Fort Worth and Denton County (Exhibit Table 4).
C. Educational Facilities
Northwest ISD will be responsible for the management and initiation of any educational facilities
to be funded through the use of TIF increment. On an annual basis, the TIF will transfer 66 2/3%
of the funds secured from the Northwest ISD increment to be used by Northwest ISD for
financing projects as outlined in the Amended and Restated Project Plan 2002. The transfer of
funds and accounting of those funds will be accomplished in the manner described in the
participation agreement between the City of Fort Worth and Northwest ISD. A breakout of the
estimated annual transfer to Northwest ISD for use toward educational facility projects can be
found in Exhibit Table 5. The Northwest ISD Board of Trustees will determine the timelines and
priorities for construction and renovation of the educational facilities described in section two,
(Description of Proj ect Improvements) of this Amended and Restated Financing Plan 2002.
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended & Restated Financing Plan 2002 Page 12 of 13
Exhibit "A"
I). Infrastructure and Public Improvements
Any funds not secured by TMS for the purchase of the Speedway will become available for public
project financing along with the 33 1/3% of the Northwest ISD increment generated within the
TIF (Exhibit Table 6). The TIF Board will approve all projects and funds to be used to finance
these projects. Based on the conservative projections, approximately $10,752,970.00 will be
available to fund public projects. A detailed listing of the possible public improvement projects is
contained in Exhibit "F." However, a general description of those projects is outlined below.
1. Local Match for State I3ighway Projects -Local entities must often provide matching fiu~ds
in order to secure improvements to the local highway system. TIF increment will be used to
provide funds for improvements and expansion of state and interstate highways within and
around the T1F.
2. Construction of Arterial Streets and Roads - A number of streets will need to be
constructed within and around the TIF in order to provide support to the overall transportation
system and to spur future development in the area.
3. Improvements to Current Arterial Streets and Roads -There is a need to improve and
possibly expand the current street system within the TIF to provide better traffic flow during
major events. TIF funds will be used to renovate and expand these streets as needed.
4. Additional and Improved Signage -Signs throughout the TIF are important to promote
traffic flow and provide information for visitors. The size of the overall development creates a
need to continually increase, improve, and upgrade signs throughout the property.
5. Drainage Improvements and Infrastructure -Continued development will increase the
need to provide an adequate drainage system that will allow for proper development. TIF
funds will be used to provide adequate drainage associated with TIF projects.
6. Improvements to the TMS Development -Continued improvements to the TMS to make the
development successful will be needed in the future. These improvements could include
restroom & shower facilities, additional grandstand seating, a drag strip facility, and a short
racing track.
Fort Worth Tax Increment Reinvestment Zone Number 2: Amended & Restated Financing Plan 2002 Page 13 of 13
ee I r jests
1999 Approved List 2002 Proposed List
Educational Projects
1 Core Campus Additions & Remodeling $92,583,094.00 Deleted
2 Athletic Complex $107,000,000.00 Deleted
3 Automotive Training Complex $3,200,000.00 ~ Deleted
4 New School Sites $1,000,000.00 Deleted
5 Infrastructure Improvements $1,006,922.00 Deleted
6 Costs of Operation $50,000,000.00 $10,914,444.00
7 Natatorium & Related Infrastructure ----- $9,056,000.00
8 Financial Reserve ----- $1,321,274.00
Total Educational Projects $254,790,016.00 $21,291,718.00
Speed~nlay Projects $9,000,000.00
Current (unspecified)
1 P.A. System Upgrade $224,200.00
2 Competitors Parking Lot Improvements. $774,426.75
3 New Restroom/Shower building $864,110.00
4 Finish paving dirt track pits $215,579.88
5 Overlay east parking lot $439,129.66
6 Lonestar Circle Improvements $744,529.43
7 -Relocate-Diamond-Shamrock gas-line--- - - _ __$603;900:00--_ -
8 Improve parking lots -West of PSL lot $400,000.00
9 Paving and gates $70,526.40
10 Storm drainaige @ S. Tunnel and South Shower Building $92,080.00
11 Construct 2.54 acre parking lot North of Condos $198,838.00
12 Improvements to the 17 acre RV lot $1,221,421.00
13 Trees $51,388.80
14 Little Texas Pits $239,904.30
15 Water service for 400 Motor homes $160,380.00
16 Miscellaneous Signage, Paving and Facility Upgrades $369,163.00
17 Interest Reserve $3,009,447.34 ;~
Total Current Speedway Projects $9,000,000.00 $9,679,024.56
Deferred
1 Repair PSL Lot $4,083,392.00
Total Deferred Speedway Projects $4,083,392.00
Future
1 Local Match for State Highway Projects $7,500,000.00 $7,500,000.00
2 Construction of Arterial Streets & Roads $6,500,000.00 $6,500,000.00
3 Improvements to Current Arterial Streets & Roads $3,500,000.00 $3,500,000.00
4 Additional & Improved Signage $5,500,000.00 $5,500,000.00
5 Drainage Improvements & Infrastructure $12,140,385.00 $12,140,385.00
Total Future Speedway Projects $35,140,385.00 $35,140,385.00
Total Speedway Projects (Current + Deferred + Future) $44,140,385.00 $48,902,801.56
TOTAL EDl3CAT10NAL & SPEEDWAY PROJECTS $298,930,401.00 $70,194,519.56
TIF 2 -Original Area
City of Fort Worth
Denton County
Total Available for Speedway Purchase
Less Purchase of Speedway
Balance Available for TIF Projects
1999 Projections
$22,507,824.00
$6,417,460.00
$28,925,284.00
($20,000,000.00)
$8,925,284.00
2002 Projections
$13,161,295.00
$2,906,540.00
$16,067,835.00
($20,000,000.00)
($3,932,165.00)
TIF 2 -Expansion
Northwest ISD
Less Educational Projects
Balance Available for TIF Projects
$110,802,312.00
($73,868,208.00)
$36,934,104.00
$32,262,136.00
($21, 509,166.00)
$10,752,970.00
TOTAL AVAILABLE FOR TIF PROJECTS $45,859,388.00 $10,752,970.00
City of .~oYt T~orth, Texas
DATE REFERENCE NUMBER LOG NAME PAGE
10/15/02 G-13766 17SPEED 1 of 2
SUBJECT ADOPTION OF ORDINANCE APPROVING THE AMENDED AND RESTATED
PROJECT PLAN AND FINANCING PLAN FOR TAX INCREMENT REINVESTMENT
ZONE NUMBER TWO, CITY OF FORT WORTH, TEXAS SPEEDWAY TIF
RECOMMENDATION:
It is recommended that the City Council adopt the attached ordinance approving the Amended and
Restated Project Plan and Amended and Restated Financing Plan for Tax Increment Reinvestment
Zone Number Two, City of Fort Worth, Texas (Speedway TIF).
DISCUSSION:
The Speedway TIF was created on December 19, 1995 (M&C G-11349), and was expanded on August
10, 1999 (M&C G-12628).
State law (Tax Code 311.011) requires that the Board of Directors of the TIF prepare and adopt a
project plan and a reinvestment zone financing plan and submit the plans to the City Council. On
August 10, 1999, (M&C G-12628), the City Council approved an amended project plan and
reinvestment zone financing plan.
Since the amended project plan and reinvestment zone financing plan were approved in 1999, a
number of developments have occurred within the TIF zone. The Speedway TIF Board felt that the
project plan and financing plan should be updated to more accurately reflect the planned development
for the TIF. Therefore, at its meeting on September 6, 2002, the Board of Directors adopted the
Amended and Restated Project Plan 2002 and the Amended and Restated Financing Plan 2002, and
recommended the approval of the plans by the City Council. Copies of the Amended and Restated
Project Plan 2002 and Amended and Restated Finance Plan are attached.
In addition to making the requisite statutory findings and approving the Project and Financing Plans,
adoption of the attached ordinance would expressly grant authority to the Board to enter into
agreements that are necessary or convenient for the implementation of the Amended and Restated
Project and Financing Plans, pursuant to Tax Code Section 311.010(a). The Board would not,
however, have the power of eminent domain, the power to issue bonds or notes, the power to impose
taxes or fees, or the power to restrict property uses in the Zone pursuant to Tax Code Section
311.010(c).
City of .Fort Worth, Texas
•
DATE
10/15/02 REFERENCE NUMBER
G-~ 3766 LOG NAME
17SPEED PAGE
2 of 2
SUBJECT ADOPTION OF ORDINANCE APPROVING THE AMENDED AND RESTATED
PROJECT PLAN AND FINANCING PLAN FOR TAX INCREMENT REINVESTMENT
ZONE NUMBER TWO, CITY OF FORT WORTH, TEXAS SPEEDWAY TIF
FISCAL INFORMATION/CERTIFICATION:
The Finance Director certifies that this action will have no material effect on City funds.
RR:k
Submitted for City Manager's FUND ACCOUNT CENTER AMOUNT CITY SECRETARY
Office by: (to)
Reid Rector 6140
Originating Department Head:
Tom Higgins 6192 (from) APPROVED 10/29/02
ORD.#15304 (AS AMENDED)
Additional Information Contact:
Ardina Washington 8003