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Ordinance 17570-05-2007
ORDINANCE NO 17570-OS-2007 AN ORDINANCE DESIGNATING A CERTAIN AREA IN THE CITY OF FORT WORTH AS `TAX ABATEMENT REINVESTMENT ZONE NUMBER FIFTY NINE, 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 Councils adoption on June 13 2006 of Resolution No 3363-06-20062 (M&C G-15213) (the `Tax Abatement Policy"), the City of Fort Worth, Texas (the `City") has elected to be eligible to participate m tax abatement and has established guidelines and criteria govermng tax abatement agreements entered into between the City and various third parties, as authorized by and m accordance with the Property Redevelopment and Tax Abatement Act, codified m Chapter 312 of the Texas Tax Code (the `Code") and WHEREAS, the City Council desires to promote the development of the area m the City more specifically described m Exhibit A of this Ordinance (the `Zone") through the creation of a reinvestment zone for purposes of granting a commercial industrial tax abatement, as authorized by and m accordance with Chapter 312 of the Code• and WHEREAS, BGR Partners, L.P ("Company"), a Texas limited partnership, owns or is under contract to purchase real property in the Zone and has applied for a real and personal property tax abatement from the City m return for the expansion of its corporate headquarters on that property costing approximately $2,250 000 00 Page 1 Ordinance Designating Tax Abatement Reinvestment Zone Number Fifty-Nine, City of Fort Worth, T xas ("Improvements") and compliance with certain other commitments that will foster economic development m the Zone and the Crty m general, and WHEREAS, on May 29 2007 the Crty Council held a public heanng 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; and WHEREAS, notice of the Public Hearing was published in a newspaper of general circulation m the Crty on May 22, 2007 which satisfies the requirement of Section 312.201(d)(1) of the Code that publication of the notice occur not later than the seventh day before the date of the public heanng; and WHEREAS, m accordance with Sections 312.201(d)(2) and (e), notice of the Public Heanng was delivered in wasting not later than the seventh day before the date of the public hearing to the presiding officer of the governing body of each taxing unit that includes m its boundaries real property that is to be included m the proposed Zone; 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 rt regarding the establishment of the Zone and after conducting the Public Heanng and affording a reasonable opportunity for Page 2 Ordinance Designating Tax Abatement Reinvestment Zone Number Fifty-Nine, City of Fort Worth, T xas all interested persons to speak and present evidence for or against the creation of the Zone, the Crty Council hereby makes the following findings of fact: 1.1. The statements and facts set forth in the recitals of this Ordinance are true and correct. Therefore, the City has met the nonce and procedural requirements established by the Code for creation of a reinvestment zone under Chapter 312 of the Code. 1.2. The Improvements cannot be constructed without Company's mcurnng additional costs for relocation of a samtary sewer lines. Because of this and other challenges with the property m the Zone, Company looked at other locations outside the City for construction of its corporate headquarters. Tax abatement on property owned by Company m the Zone is a necessary incentive for Company to maintain and expand its corporate headquarters m the City As a result of designation as a reinvestment zone, the area wrtlun the Zone is reasonably likely to contribute to the expansion of pnmary employment and to attract mayor investment m the Zone that will be a benefit to property in the Zone and will contribute to the economic development of the City 1.4 The Improvements proposed for the Zone, as more specifically outlined in the Public Hearing and which will be made pursuant to a tax abatement agreement with Company that must subsequently be approved by the Crty Council, are feasible and practical and, once completed, will benefit the land included in the Zone as well as the Crty for a penod m excess of ten (10) years, which is the statutory maximum term of any tax abatement agreement entered into under the Chapter 312 of the Code. Page 3 Ordinance Designating Tax Abatement Reinvestment Zone Number Fifty-Nine, City of Fort Worth, T xas Section 2. DESIGNATION OF ZONE. That the City Council hereby designates the Zone described m the boundary description attached hereto as Exhibit A and made a part of this Ordinance for all purposes as a reinvestment zone for purposes of granting a residential tax abatement, as authorized by and m accordance with Chapter 312 of the Code. This Zone shall be known as `Tax Abatement Reinvestment Zone Number Fifty Nine, City of Fort Worth, Texas. This protect is eligible for commercial/industrial tax abatement (business expansion protect) pursuant to Section 6 1 of the Tax Abatement Policy Section 3. TERM OF ZONE. That the Zone shall take effect upon the effective date of this Ordinance and expire five (5) years thereafter The Zone may be renewed by the City Council for one or more subsequent terms of five (5) years or less. Section 4. SEVERABILITY That if any portion, section or part of a section of this Ordinance is subsequently declared mvahd, 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 m full force and effect and shall not m any way be impaired or affected by such decision, opinion or Judgment. Page 4 Ordinance Designating Tax Abatement Reinvestment Zone Number Fifty-Nine, City of Fort Worth, T xas Section 5. IMMEDIATE EFFECT That tlns Ordinance shall take effect upon rts adoption. AND IT IS SO ORDAINED ADOPTED AND EFFECTIVE May 29, 2007 APPROVED AS TO FORM AND LEGALITY ~~ ~ " R r -'^R ~• /'4 M x ,... $ _y; w °'^' D~4+ Y L7y. r „G %`; ;Peter Vaky`~ ~~~4 rM Assistant Crty Attorne yt~r y,*} 1s~,~t M&C G-15740 Page 5 Ordinance Designating Tax Abatement Reinvestment Zone Number Fifty-Nine, City of Fort Worth, T xas EXHIBIT A BOUNDARY DESCRIPTION AND MAP OF ZONE Metes and Bounds Description 2.775 Acres Allen Beard Survey A 137 M. Johnson Survey A-858 Fort Worth, Tarrant County Texas BEING a tract of land located in the Allen Beard Survey Abstract no 137 and the M. Johnson Survey Abstract No 858 m the City of Fort Worth, Tarrant County Texas, being part of Tract 8 described by document to Mercantile Partners, LP as recorded m Volume 11752 Pages 207 Deed Records, Tarrant County Texas (DRTCT), and a tract of land described by document to Mercantile Partners, LP as recorded m Volume 15068, Page 32, DRTCT and being more particularly described by metes and bounds as follows. (bearings referenced to the west line of Lot 2, Block 5 Mercantile Center an Addition to the Crty of Fort Worth as recorded m Cabinet B, Slide 2121 Plat Records, Tarrant County Texas (PRTCT)) BEGINNING at a set 5/8-inch capped iron rod marked `BHB INC" (set iron rod) m the south right-of way line of Meacham Boulevard (Variable right-of way), from which a 5/8-inch iron rod found for the southernmost southwest corner of Lot 1 Block 2A, Mercantile Center an addition to the Crty of Fort Worth as recorded m Cabinet B Slide 871 PRTCT same being m the north right-of way line of said Meacham Boulevard bears North OS°24'08 West, a distance of 132 60 feet; THENCE South 89°56'00" East, along said south right-of way line, a distance of 195.36 feet to a point for the northwest corner of Lot 1 Block 5 Mercantile Center an addition to the City of Fort Worth, as recorded m Cabinet B, Slide 1205 PRTCT from which a found 5/8-inch iron rod bears South 25°O1 West, a distance of 0 6 feet; THENCE SOUTH, along the west line of said Lot 1 a distance of 262.50 feet to a set iron rod, m the north line of Lot 2, Block 5 Mercantile Center an addition to the Crty of Fort Worth, as recorded m Cabinet B Slide 2121 PRTCT THECE WEST along said north line, a distance of 59 59 feet to a set iron rod at the northwest corner of said Lot 2, THENCE SOUTH, along the west line of said Lot 2, a distance of 279 41 feet to a found 5/8-inch iron rod for the southwest corner of said Lot 2, same being in the north right-of way line of South Polaris Drive (60 right-of way) THENCE North 89°56'00" West along said north right-of way line, a distance of 74 48 feet from which a found 5/8-inch capped iron rod marked `Brookes-Baker" bears South 40°26 East, a distance of 0 7 feet; Ordinance Designating Tax Abatement Reinvestment Zone Number Fifty-Nine, City of Fort Worth, T xas THENCE northwesterly along the east right-of way of Sylvama Avenue (Variable right of way) the following calls and distances. Along the arc of a curve to the right, having a central angle of 49°12'51 a radius of 120 00 feet, an arc length of 103 07 feet, and a chord which bears North 65°19 42 West, a distance of 99.93 feet to a set iron rod, North 00°09'23 East, a distance of 97 18 feet to a set iron rod, Along the arc of a curve to the left, having a central angle of 03°44'25 a radius of 622.96 feet, an arc length of 40 67 feet, and a chord which bears North 24°49'06 West, a distance of 40 66 feet to a set iron rod, North 14 13'50" West, a distance of 131 00 feet to a set iron rod, Along the arc of a curve to the right, having a central angle of 12°08 48 a radius of 510 96 feet, an arc length of 108.32 feet, and a chord which bears North 06°07'31 West, a distance of 108 12 feet to a set iron rod, from which a found 5/8-inch capped iron rod marked `Brookes-Baker" bears South 75°41 East, a distance of 2.5 feet; North 00°03'08 West, a distance of 41 68 feet to a set iron rod, from which a found 5/8-inch capped iron rod marked `Brookes-Baker" bears South 70°21 East, a distance of 2.2 feet; Along the arc of a curve to the right, having a central angle of 90°07'30 a radius of 90 00 feet, an arc length of 141.57 feet, and a chord which bears North 45°00 18 East, a distance of 127 42 feet to the POINT OF BEGINNING and CONTAINING 2.775 acres of land more or less. 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""'4-~~ i ~`o ~.. ~"!~ ~ • ~} _ ~.~a~s~' ~ ~' 2 ~! . ~ ... ..$ Gity+ of Fort 1~1,~orth, Texas Eeonorrie & Communityr ~evevlaplrent Copyright 2a~7 Tax Abat~m~nt R~inv~stment Zone ~~ ~~ ------ ~ ,~ I ~~ ~ ~~ _ __ ~ `- P4~LARIS-DR - ~ , -- N ''~ ., ~ ~ v ~, a~ W a a z ~ ~ J .----,-_ ~ _.__, MEAGHAM BL_V_D - ~ ~ ~ r ,,~ © ~ ~ ~~ ~ '~ ~ y _ W ~ y J ~ ~C O Z J ~ Z ~ ~ ~ Q WJ ~~ I ~ - ~ _~-' i ,.~.- titi - . - 1 c 0 Z 0 i r Z ~ i - CJVC C~V I L-lam N-P KW Y~ MG.MrLLAV~_P_KWY~ -~ ~ City of Fort U1~`orth, Te~cas Economic & Communityr Devevloprrlent Copyright 2007 City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION Approved on 5/29/2007 Ordinance No 17570-05-2007 DATE Tuesday May 29 2007 LOG NAME 17BUXTONRIZ REFERENCE NO G 15740 SUBJECT Conduct Public Hearing and Adopt Ordinance Designating Tax Abatement Reinvestment Zone No 59 City of Fort Worth Texas in the Vicinity of Meacham Boulevard and North Sylvania Avenue RECOMMENDATION It is recommended that the City Council 1 Hold a public hearing concerning the designation of Tax Abatement Reinvestment Zone No 59 City of Fort Worth Texas, and 2. Adopt the attached ordinance that designates Tax Abatement Reinvestment Zone No 59 City of Fort Worth Texas, pursuant to and in accordance with Chapter 312 of the Texas Tax Code DISCUSSION The proposed Reinvestment Zone Number 59 City of Fort Worth Texas (Zone) is at the southeast corner of Meacham Boulevard and North Sylvania Avenue in north Fort Worth in the Mercantile Center Addition and is in COUNCIL DISTRICT 4 The exact boundaries of the proposed zone are described in Exhibit A of the attached ordinance The Buxton Company a leading consultant to the retail trade industry is considering development of this site into an expanded corporate headquarters facility to accommodate future growth As required by Chapter 312 of the Texas Tax Code a public hearing must be conducted regarding the creation of the Zone Notice of this hearing was (1) delivered to the governing body of each affected taxing unit; and (2) published in a newspaper of general circulation at least seven days prior to this hearing The area encompassing the proposed Zone meets the statutory criteria for designation as a tax abatement reinvestment zone set forth in Chapter 312 of the Texas Tax Code in that the area is reasonably likely as a result of the designation to contribute to the retention or expansion of primary employment or to attract major investment in the Zone that would be a benefit to the property and that would contribute to the economic development of the City Further the improvements sought in the Zone are feasible practical and would be a benefit to the land to be included in the Zone and to the City after any tax abatement agreements which may be entered into have expired The term of the proposed Zone will be ten years from the date of adoption of the attached ordinance FISCAL INFORMATION/CERTIFICATION The Finance Director certifies that this Agreement will have no material effect city funds Logname 17BUXTONRIZ Page 1 of 2 TO Fund/Account/Centers FROM Fund/Account/Centers Submitted for City Manager's Office b~ Dale Fisseler (6140) Originating Department Head. Tom Higgins (6192) Additional Information Contact: Jay Chapa (5804) Mark Folden (8634) Logname 17BUXTONRIZ Page 2 of 2