HomeMy WebLinkAboutResolution - 2024-R0061 - North Overton TIF Reinvestment Zone Annual Report, 10/1/22 - 9/30/23 - 02/13/2024Resolution No. 2024-R0061
Item No. 5.4
February 13, 2024
RESOLUTION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the City Council of the City of Lubbock does hereby approve the North Overton
Tax Increment Financing Reinvestment Zone Annual Report for October l, 2022
through September 30, 2023, which will be distributed to the chief executive officer of
each taxing unit levying taxes within the North Overton Tax Increment Financing
Reinvestment Zone, and to the Comptroller of the State of Texas. Said Annual Report is
attached hereto and incorporated in this Resolution as if fully set forth herein and shall
be included in the minutes of the Council.
Passed by the City Council on Februar; 13, 2024
ATTEST:
C rtney Paz, City Secretary �
APPROVED AS TO CONTENT:
Blu oste ich, Chie inancial Officer
APPROVED AS TO FORM:
elli Leisure, Senior Assistant City Attorney
ccdocs/RES. North Overton Tax Increment Financing Reinvestment Zone — 2023 Annual Report
1.11.24
Resolution No. 2024-R0061
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City of
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TEXAS
North Overton Tax Increment Financing
Reinvestment Zone
Annual Report
October 1, 2022 - September 30, 2023
City of Lubbock, TX
North Overton
Tax Increment Financing Reinvestment Zone
Annual Report
October 1, 2022 — September 30, 2023
Table of Contents
Introduction......... ............................................... ....................................................................... . ..... 2
FinancialReport .............................................................................................................................. 3
AppraisedValues ............................................................................................................................ 3
Tax Increment Fund Revenue ......................................................................................................... 3
PerformanceReport ........................................................................................................................ 4
Boardof Directors ........................................................................................................................... 7
Maps................................................................................................................................................ 8
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City of Lubbock, TX
North Overton
Tax Increment Financing Reinvestment Zone
Annual Report
October 1, 2022 — September 30, 2023
Introduction
The Lubbock City Council established the North Overton Tax Increment Financing Reinvestment
Zone (Zone) by ordinance on March 14, 2002 to promote the development of the North Overton
area. The Zone was initiated by a petition of owners of more than 50 percent of the appraised
value of land in the Zone. The petition was received on October 31, 2001. The Zone was enacted
after written notice and formal presentations to the governing body of each taxing unit that levies
real taxes in the Zone, and after a properly advertised public hearing for public comments on the
creation of the Zone. The termination of the North Overton TIF shall occur on December 31,
2031.
According to the Texas Tax Increment Finance Act Section 311.016, the City must submit an
annual report to the chief executive officer of each taxing unit that levies taxes on property within
a zone. The report must be provided on or before the 150th day following the end of the City's
fiscal year (September 30), and a copy must be sent to the Texas Comptroller of Public Accounts.
The Texas Tax Increment Finance Act specifies that the report must include:
❑ Amount and source of revenue in the Tax Increment Fund established for the Zone,
❑ Amount and purpose of expenditures from the Fund,
❑ Amount of principal and interest due on outstanding bonded indebtedness,
❑ Tax increment base and current captured appraised value retained by the Zone,
❑ Captured appraised value shared by the City and other taxing units,
❑ Total amount of tax increments received, and
❑ Any additional information necessary to demonstrate compliance with the Tax Increment
Financing Plan adopted by the City.
Distribution of this annual report was approved by resolution of the City Council on February 13,
2024 upon the recommendation of the North Overton Ta�c Increment Financing Reinvestment
Zone Board of Directors (Board) on January 25, 2024.
/
�
Tr ayne, Mayor Jeff Dane, Chairman
City of Lubbock North Overton TIF Board of Directors
Page 2
City of Lubbock, TX
North Overton
Tax Increment Financing Reinvestment Zone
Annual Report
October 1, 2022 — September 30, 2023
Financial Report
As set by the Lubbock Central Appraisal District (LCAD), the appraised value of the Zone
increased $557,733,916 in value since the 2002 base year for each taxing jurisdiction. However,
exemptions and abatements by the City and other taxing jurisdictions lower the net taxable amount
available to the Tax Increment Fund as indicated on tf�is page.
Appraised Values
Zone 2022 Appraised Value (before abatements and
exemptions)
Less: 2002 Base Value
Current Captured Appraised Value Retained and
Shared (before abatements)*
$ 584,674,520
26,940,604
$ 557,733,916
*The captured appraised value of taxable real property is the total appraised value of all real property taxable by the
taxing unit and located in a reinvestment zone for that year, less the tax increment base of the taxing unit. Texas Tax
Increment Finance Act Section 311.012(b).
Tax Increment Fund Revenue
Taxing Jurisdiction
City of Lubbock
Lubbock County
Lubbock County Hospital
District
High Plains Underground
Water Conservation District # 1
Total Fund Revenue
2023
Tax Rate
2023 Projected TIF
2002 Incremental Fund Revenue
Appraised 2023 Net Net Taxable (100%
Value Taxable Value Value Collection}
$0.480164 26,940,604 583,526,972 556,586,368 $ 2,672,527
0347507 26,940,604 583,537,372 556,596,768 1,934,213
0.103164 26,940,604 583,537,372 556,596,768 574,207
0.004200 26,940,604 583,537,372 556,596,768 23,377
Page 3
$ 5,204,325
City of Lubbock, TX
North Overton
Tax Increment Financing Reinvestment Zone
Annual Report
October 1, 2022 — September 30, 2023
Performance Report
The Board and City Council are operating with the Fifth Amended Project and Finance Plans
approved by the Board on December 10, 2009 and approved by the City Council on February 25,
2010. The Plans outline the financial strategy to accomplish the goal of the Zone. The Financing
Plan provides projections of the amount of revenue that may be received in the future and the
potential project financing that revenue may support. The Project Plan describes the types of
projects anticipated to occur in the Zone.
Revenues
For the year ended September 30, 2023, the Zone received $5.5 million in property tax revenues
for the 2022 tax year. Any variance in the actual amount from the amount reported in the FY
2021-22 annual report can be attributed to uncollected taxes and/or exemptions. The Zone received
$401,603 in hotel motel tax revenue for debt service on the conference center, $89,555 in revenue
from the one percent of net revenue from the Overton I-Iotel and $81,765 in incentive rent from
the Overton Hotel. The Zone also earned $235,435 in interest.
Expenditures and Projects
The City Council has issued nine series of Certificates of Obligation to fund public improvement
projects for the Zone. They were issued as follows:
July 15, 2003
August 15, 2005
April, 15, 2006
August 15, 2007
January 17, 2008
May 23, 2008
Apri18, 2009
January 20, 2010
April 15, 2016
$ 3,795,000
9,290,000
6,307,749
4,111,341
11,805,000
1,943,758
961,386
1,982,958
1,280,000
All expenditures are made as defined in the Texas Tax Increment Finance Act Section 311.002(1):
"Project costs means the expenditures made or estimated to be made and monetary obligations
incurred or estimated to be incurred by the municipality or county establishing a reinvestment zone
that are listed in the project plan as costs of public works or public improvements in the zone, plus
other costs incidental to those expenditures and obligations."
Page 4
City of Lubbock, TX
North Overton
Tax Increment Financing Reinvestment Zone
Annual Report
October 1, 2022 - September 30, 2023
North Overton TIF Expenditures
Expenditures To
FY 2022-23 Date
Capital Projects
North Overton Phase I - 909,192
The Centre, Phase I Project - 1,959,363
Dinerstein II, Phase 1 Project - 1,581,407
Tract#3 - 1,158,251
Tract #5 - I ,004,141
Tract #6 - 526,414
Tract #7 - 904,271
Dinerstein I❑ - 1,022,627
Walmart - 2,521,914
Tract 11 - Condo 1 - 163,364
Tract 12 and Tract 13 - Condo 1[ & Ill - 215,690
Single Family - 4,986,859
Pioneer Park Improvements - 8,268
North Overton TIF Public Facilities" - 22,652,438
Tract I A
ROW Acquire Glenna Goodacre Blvd.
Tract 1 B
Tract 18 Commercial
ULOFT
Tract 1-B-3
Glenna Goodacre Blvd. East
Water Utilities North Overton TIF
North Overton TIF Electric Utility
Capstone
Wastewater Utilities North Overton T[F
North Overton 77F Street Reconstruction
Landscaping in the Parkway
North Overton T[F Public Improvements
Street Infrastructure Upgrades/Replacement
Roy Furr Pioneer Park
North Overton TIF Street UPG
Total Capital Project Expenditures
Administrative/Bond Issuance Expenditures
Administrative
Administrative Costs
Office Supplies
Professional Services
LCAD Collections Charges
North Overton Zoning
North Overton TIF Creation
North Overton TIF Board Administration
Total Administrative Expenditures
Interest Expense
Bond Sale Charges
Special Projects
Capital Outlay
Transfer to Capital Projects Fund
Total Expenditures
- 84,41 I
- 3,253,991
- 124,633
- 762,433
- 86,049
- 68,867
- 2,973,448
- 148,910
- 322,374
- 2,312,571
- 125,574
- 871,062
- 89,281
401,353 2,924,860
1,738,933 1,868,535
1,368,276 2,149,927
$ 3,508,562 57,781,125
$ 17,838 381,541
960 I 1,073
7,090 I 19,352
3,454 343,017
- 35,625
- 272,726
31,539
29,342 1,194,873
- 343,017
- 272,726
- 1,200
- 31,539
3,500,000 9,000,000
$ 3,529,343 10,843,356
Transfer to Debt Service $ 3,085,287 52,409,385
** This project is funded with $11.4 million in bonds and $1 I million in grants from
the CH Foundation and the Moody Foundation
Page 5
City of Lubbock, TX
North Overton
Tax Increment Financing Reinvestment Zone
Annual Report
October 1, 2022 — September 30, 2023
CITY OF LUBBOCK, TEXAS
DFBT S FRVICE SCH�ULE
ALL CIItTII�iCATES & BOND ISSUES
BUDGET
NORTH OVFdtTON TIF' ALLOCATIONS
FISCAL TOTAL
YEAR PRINCII'AL INTEREST REQUIItEMENTS
2023-24
202425
2025-26
2026-27
2027-28
2028-29
2029-30
2,745,000.00 333,436.71 3,078,436.71
2,685,000.00 234,557.01 2,919,557.01
2,085,000.00 133,467.51 2,218,467.51
1,535,000.00 60,534.38 1,595,534.38
320,000.00 23,250.00 343,250.00
190,000.00 11,000.00 201,000.00
130,000.00 3,250.00 133,250.00
$ 9,690,000.00 $ 799,495.61 $ 10,489,495.61
Page 6
City of Lubbock, TX
North Overton
Tax Increment Financing Reinvestment Zone
Annual Report
October 1, 2022 — September 30, 2023
Board of Directors
Because the Zone was initiated by a petition of the property owners, by statute the board must consist of
nine members. The City Council appoints four board members, who must be at least 18 years of age and
owners, or a representative of owners, of real property in the Zone or employees or agents of someone who
owns property in the Zone. The State Senator and State Representative for the Zone, or their designees, are
also board members, as are the representatives of Lubbock County, Lubbock County Hospital District, and
the High Plains Underground Water Conservation District. The Board is responsible for administering the
Zone throughout its life span and for recommending projects to be financed with the approval of the City
Council.
Lubbock County Hospital District Representative:
Mark Funderburk, Chief Executive Officer; Designee: Jeff Dane, Chair
City Council Representative: Timothy Pridmore
McWhorter Cobb & Johnson LLP
Term: 03/O1/22 — 03/O1/24
City Council Representative: Kurt Metcalf
Overton Hotel
Term: 03/O1/23 — 03/O1/25
City Council Representative: Patrick Murfee
Murfee and Sons, Inc.
Term: 03/O1/23 — 03/O1/25
City Council Representative: Lisa West
Double Nickel Steakhouse
Term: 03/O1/23 — 03/O1/25
State Senator:
Honorable Charles Perry, State Senator
State RepresentaNve:
Honorable Carl Tepper, State Representative
Lubbock County RepresentaHve:
Gilbert A. Flores, Lubbock County Commissioner
High Plains Underground Water District Representative:
Jason Coleman, High Plains Underground Water District Appointee
Page 7
City of Lubbock, TX
North Overton
Tax Increment Financing Reinvestment Zone
Annual Report
October 1, 2022 — September 30, 2023
Reinvestment Zone Boundary Map
North Overton TIF
Page 8
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