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HomeMy WebLinkAboutOrdinance 15886ORDINANCE NO ~ ~J v AN ORDINANCE DESIGNATING A CERTAIN AREA IN THE CITY OF FORT WORTH AS `NEIGHBORHOOD EMPOWERMENT REINVESTMENT ZONE NO 17 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 Council s adoption on April 22, 2003 of Resolution No 2938 (M&C C 19551), the City of Fort Worth, Texas (the `City") has elected to be eligible to participate m tax abatement and has established guidelines and criteria governing 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 in the City more specifically described m Exhibit A of this Ordinance (the `Zone') through the creation of reinvestment zone for purposes of granting residential and commercial-industrial tax abatement, as authorized by and in accordance with Chapter 312 of the Code; and WHEREAS, on February 24 2004 the City Council designated and expanded the Stop Six Area as a Neighborhood Empowerment Zone by Resolution to promote (1) the creation or rehabilitation of affordable housing m the zone, or (2) an increase m economic development in the zone, or (3) an increase in the quality of social services, education or public safety provided to the residents of the zone; and WHEREAS, the Neighborhood Empowerment Reinvestment Zone No 17 is located within the Stop Six Neighborhood Empowerment Zone; and WHEREAS, the Neighborhood Empowerment Zone No 17 will promote the creation of affordable housing m the zone and an increase in economic development in the zone; and WHEREAS, on February 24 2004 the City Council held a public heanng regarding the creation of the Zone afforded a reasonable opportunity for all interested persons to speak and present evidence for or against the creation of the Zone ("Public Heanng"), as required by Section 312.201(d) of the Code; and WHEREAS nonce of the Public Heanng was published in a newspaper of general circulation m the City on February 17 2004 2003 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), nonce of the Public Heanng was delivered in venting not later than the seventh day before the date of the public heanng to the presiding officer of the governing body of each taxing unit that includes in its boundanes real property that is to be included in 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 it regarding the establishment of the Zone and after conducting the Public Heanng and affording a reasonable opportunity 2 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 aze true and correct. Therefore, the City has met the notice and procedural requirements established by the Code for creation of a reinvestment zone under Chapter 312 of the Code; and 1.2. That the boundaries of the reinvestment zone shall be the boundaries as described in Exhibit A which is attached hereto and made a part hereof; 1.3. The Zone meets the criteria for the designation of a reinvestment zone as set forth in V T C.A., Tax Code, Section 312.202, as amended, m 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 mayor investment in the zone that would be a benefit to the property and that would contribute to the economic development of the municipality 1.4. Future improvements in the Zone will benefit the land included in the Zone as well as the Crty for a period 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. Section 2. DESIGNATION OF ZONE. That the City Council hereby designates the Zone described in the boundary description attached hereto as Exhibit A and made a part of this Ordinance for all 3 purposes as a reinvestment zone for purposes of granting residential and commercial industrial tax abatement, as authorized by and m accordance with Chapter 312 of the Code. The Zone shall be known as `Neighborhood Empowerment Reinvestment Zone No 17 City of Fort Worth, Texas" The area within the Zone is eligible for residential and commercial-industrial tax abatement pursuant to Resolution No 2938 and M&C G- 13662R, as amended. 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 maybe 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 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. Section 5 That this Ordinance shall take effect upon its adoption. AND IT IS SO ORDAINED 4 ADOPTED AND EFFECTNE. ~ ~ '-[" APPROVED AS TO FORM AND LEGALITY By ~- Assistant City Attorney Date: ~~ cy.~`-I' EXHIBIT A Fort Worth Neighborhood Empowerment Reinvestment Zone No 17 General Description The area to be designated as Fort Worth Neighborhood Empowerment Reinvestment Zone No 17 for tax abatement purposes contains 4 1 square miles of land and is described below On the North Beginning at the intersection of Umon Pacific Railroad and the northwest corner of Lot 1 Block 2 of the Murray Hill Addition, as recorded in Volume 63 Page 117 of the Tarrant County plat records, thence east on Umon Pacific Road to Tierney Road, thence north on Tierney Road to Old Handley Road, thence east on Old Handley Road to Umon Pacific Railroad, thence east on Umon Pacific Railroad to Interstate 820 On the East. Beginning at the intersection of Interstate 820 South and Umon Pacific Railroad, thence south along Interstate 820 South to Oakdale Dnve On the South Beginning at the intersection of Interstate 820 South and Oakdale Dnve, thence west on Oakdale Dnve to Nelms Dnve, thence south on Nelms Dnve to Wilbarger Street, thence west on Wilbarger Street to Carey Road, thence south on Carey Road to Brush Creek Road, thence west on Brush Creek Road to Village Creek Boulevard, thence south on Village Creek Boulevard to the westbound frontage road of U S Highway 287 thence west on the westbound frontage road of U S Highway 287 to its intersection with the southwest corner of Lot 1 Block SR of the Village Creek Industrial Park Addition, as recorded m Volume 388-1 Page 67 of the Tarrant County plat records, thence north along the western property line of Lot 1 Block SR of the Village Creek Industrial Park Addition, as recorded m Volume 388-1 Page 67 of the Tarrant County plat records to the southeast corner of Lot 1 Block 4 of the Edgewood Park Addirion, as recorded in Volume 388-2, Page 65 of the Tarrant County plat records, 6 thence north along the eastern property lme of Lot 1 Block 4 of the Edgewood Park Addition, as recorded m Volume 388-2, Page 65 of the Tarrant County plat records to Wilbarger Street, thence west on Wilbarger Street to Edgewood Terrace, thence north on Edgewood Terrace to Eastland Street, thence west on Eastland Street to Hughes Avenue On the West: Beginning at the intersection of Hughes Avenue and Eastland Street, thence north on Hughes Avenue to Berry Street, thence east on Berry Street to Edgewood Terrace, thence north on Edgewood Terrace to Forbes Street, thence west on Forbes Street to Miller Avenue, thence north on Miller Avenue to Avenue N thence east on Ave N to Coleman Avenue, thence north on Coleman Avenue to Avenue J thence west on Avenue J to Miller Avenue, thence north on Miller Avenue to Rosedale Street, thence east on Rosedale Street to the southwest corner of Lot 10 Block 1 of the Murray Hill Addition, as recorded in Volume 63 Page 117 of the Tarrant County plat records, thence north along the western property lme of Lots 10 9 8 7 6, 5 4 3 2, and 1 Block 1 of the Murray Hill Addition, as recorded in Volume 63 Page 117 of the Tarrant County plat records, to the northwest corner of Lot 1 Block 1 of the Murray Hill Addition, as recorded m Volume 63 Page i 17 of the Tarrant County plat records, thence north across Windomere Street to the southwest corner of Lot 9 Block 2 of the Murray Hill Addition, as recorded m Volume 63 Page 117 of the Tarrant County plat records, thence north along the western property lme of Lots 9 8 7 6 5 4 3 2, and 1 Block 2 of the Murray Hill Addition, as recorded in Volume 63 Page 117 of the Tarrant County plat records, to the northwest corner of Lot 1 Block 2 of the Murray Hill Addition, as recorded m Volume 63 Page 117 of the Tarrant County plat records, thence north to the Union Pacific Railroad. The area bounded by Avenue G on the north, Liberty Street on the east, Calumet Street on the south, and Amanda Avenue on the west is not included in Fort Worth Neighborhood Empowerment Reinvestment Zone No 17 7 CFW Housing Department 1/27/03EXHIBIT CIT FO WO TEXAS , coo ~ ~ ~J~,~ o 1 ~+ u 00 a COUNCIL PROPOSAL Date: 2110104 File Number Subject: Consideration of Stop Six NEZ Expansion Proposed By Frank Moss City Manager's Review Page: City Attorney's Review ~ ~~ PAGE 10F 2 PROPOSAL It rs proposed that the City Council. 1 Drrect the City Staff to schedule an item for the City of Fort Worth City Council Agenda on February 24 2004 to consider expanding the Stop Six Neighborhood Empowerment Zone (NEZ). 2. Authorize the City Manager to amend resolution No. 2721 to include the expansion area and prepare an ordinance to designate the expansion area as a Reinvestment Zone. DISCUSSION. On April 17 2001 City Council approved the creation of the Stop Six Neighborhood Empowerment Zone (NEZ). On September 11 2001 City Council approved Fort Worth Neighborhood Empowerment Reinvestment Zone (FWNERZ) No. 1 It is proposed that the Stop Srx NEZ be expanded to include the areas shown on Attachment A. The boundaries of the proposed expanded Stop Six NEZ are Unron Pacific Railroad on the North, Oakland, ,.- Hughes, and Edgewood on the West, East Loop 820 on the East, and Eastland and Wilbarger on the South (see Attachment A). ` - : S • The Stop Six NEZ currently has a population of 3 615 and an azea of 2.2 square miles. The proposed expansion azea has a population of 2,308 persons and an area of 1.9 squaze miles. The total proposed Stop Six NEZ population is 5,923 and total proposed Stop Six NEZ area is 41 square miles. The expansion azea meets the following designation requirements under the City's NEZ policy Promotes economic development; and Has a total population less. than 6,000• and The proposed Stop Six NEZ area is 100% within the Central City and. 100% within the CDBG eligible areas; and Is considered distressed based on the 2000 Census socio-demographic data. For example, according to the 2000 Census, 7 percent of all households receive public assistance income compared to a citywide percentage of 3 1 percent. Also, the expansion area has a median household income of $27,291 compazed to a citywide median of $37,074 and an 11.2% unemployment rate compazed to the citywide rate of 3.8%, and Meets criteria for Reinvestment Zone designation in that the azea 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 area and that would contribute to the economic development of the City J LEGALITY O FISCAL. NOTE O CITY MANAGER'S COMMENTS O CITY POLICIES MANUAL CIT FO WO ,TEXAS o ^ ~ O ^ COUNCIL PROPOSAL Date: 2110104 File Number Subject: Consideration of Stop Six NFZ Expansion Proposed By Frank Moss City Manager's Review Page: City Attorney's Review: ~f PAGE 2 OF 2 Development Opportunities Residential Development: According to the 2000 Census, the proposed expansion area is predominately a neighborhood with 67% of the housing amts being owner-occupied. The median owner-occupied value for homes is $41,238. Approximately 7.5% of the housing units are vacant. The expansion area will increase the amount of vacant and underdeveloped land available for future residential development in the Stop Six NEZ. There are opportunities to develop vacant land along Hughes, Coleman, Bevy Eastland, Garden, Carey and other streets m the expansion area. Commercial Development: There are commercial development opportumties along the East Loop 820, East Bent' Street, Village Creek Road, Wilbarger Street, Miller Avenue, and Rosedale Street. corridors. There are also opportunities to develop vacant land along Hughes, Coleman, Bent' Eastland, Garden, Carey and other streets in the expansion area. The proposed expanded Stop Six NEZ is located in Council District 5 LEGALITY. The Department of Law finds that this proposal is legal and that it is within the authority of the City Council. FISCAL NOTE. The Finance Duector certifies that the approval will not require the appropnation of additional funds at this time. CITY MANAGER'S COMMENT. This action is consistent with Council policy and precedent. ~ ~ Councilmember Sponsor Counci member Sp sor ^ LEGALITY ^ FISCAL NOTE ^ CITY MANAGER'S COMMENTS ^ CITY POLICIES MANUAL City of Fort Worth, Texas Mayor and Council Communication COUNCIL ACTION Approved on 2/24/2004 Ordinance No 15886 and Resolution No 3048 DATE Tuesday February 24 2004 LOG NAME 05STOPSIXNEZ REFERENCE NO G-14272 SUBJECT Expansion and Designation of the Stop Six Area as a Neighborhood Empowerment Zone and Fort Worth Neighborhood Empowerment Reinvestment Zone RECOMMENDATION It is recommended that the City Council: 1 Adopt the attached Resolution to designate the Stop Six expansion area as a Neighborhood Empowerment Zone (NEZ) and 2. Hold a public hearing concerning the designation of the Stop Six area as Fort Worth Neighborhood Empowerment Reinvestment Zone (FWNERZ) No 17 and 3 Adopt an ordinance to designate the Stop Six area as FWNERZ No 17 pursuant to the Texas Property Redevelopment and Tax Abatement Act, Tax Code Chapter 312. DISCUSSION I. Resolution on NEZ Designation On April 17 2001 the City Council approved the creation of the Stop Six Neighborhood Empowerment Zone (NEZ) On September 11 2001 the City Council approved Fort Worth Neighborhood Empowerment Reinvestment Zone (FWNERZ) No 1 On February 10 2004 the City Council approved Council Proposal (CP) No 237 (Attachment A) authorizing the City Manager to prepare a Mayor and Council Communication with amended Resolution No 2721 and ordinance to designate the Stop Six expansion area as a NEZ. The CP explains how the Stop Six area meets the NEZ designation criteria and outlines development opportunities The boundaries of the proposed expanded Stop Six NEZ are the Union Pacific Railroad on the north Oakland Boulevard Hughes Avenue and Edgewood Terrace on the west, East Loop 820 on the east, and Eastland Street and Wilbarger Street on the south (Attachment B map) The proposed expanded Stop Six NEZ has a population of 5 923 persons and an area of 4 1 square miles The proposed expanded Stop Six NEZ meets the following designation requirements under the City's NEZ policy Promotes economic development; and Has a total population less than 6 000 and The proposed Stop Six NEZ area is 100% within the Central City and 100% within the Community Development Block Grant eligible areas and Lo~name: OSSTOPSIXNEZ Page 1 cf 2 Is considered distressed based on the 2000 Census socio-demographic data For example according to the 2000 Census, 7% of all households receive public assistance income compared to a citywide percentage of 3 1 % Also the expansion area has a median household income of $27,291 compared to a citywide median of $37 074 and an 11.2% unemployment rate compared to the citywide rate of 3 8% and Meets criteria for Reinvestment Zone designation 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 area and that would contribute to the economic development of the City The Stop Six area therefore meets all the requirements for NEZ designation. II. Public Hearing and Ordinance on FWNERZ Designation One of the incentives a municipality can provide in a NEZ according to Chapter 378 of the Texas Local Government Code is an abatement of municipal property taxes for properties in the NEZ. In order to accomplish this the Stop Six area would need to be designated as a reinvestment zone The Texas Property Redevelopment and Tax Abatement Act (the Act) requires a public hearing Notice of the public hearing was (1) delivered to the governing body of each affected taxing unit, and (2) published in the newspaper at least seven days prior to the public meeting The Act requires the property receiving an abatement to be located in a reinvestment or enterprise zone The proposed area meets the criteria for the designation of a reinvestment zone because 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 contribute to the economic development of the municipality Further future improvements in the zone will be a benefit to the City after any tax abatement agreements have expired The designation of a reinvestment zone expires after five years and may be renewed for periods not to exceed five years The current NEZ and proposed NEZ expansion area are located in COUNCIL DISTRICT 5 FISCAL INFORMATION/CERTIFICATION The Finance Director certifies that this action will have no material effect on City funds. TO Fund/AccountlCenters FROM Fund/AccountlCenters Submitted for City Manager's Office b~ Reid Rector (6140) Originating Department Head Jerome Walker (7537) Additional Information Contact• Jerome Walker (7537) Lognaxne OSSTOPSIXNEZ Page 2 ~f 2