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HomeMy WebLinkAboutOrdinance - 2001-O0091 - Designating Boundaries Of A Tax Increment Financing Reinvestment Zone. - 11/15/2001First Reading November 15, 2001 Item No. 24 ORDINANCE NO. 2001 00091 Second Reading December 3, 2001 Item No. 17 AN ORDINANCE DESIGNATING AND DESCRIBING THE BOUNDARIES OF A TAX INCREMENT FINANCING REINVESTMENT ZONE FOR THE CENTRAL BUSINESS DISTRICT OF LUBBOCK, TEXAS; ESTABLISHING THE DURATION OF THE ZONE; ESTABLISHING A TAX INCREMENT FUND; AND ESTABLISHING A BOARD OF DIRECTORS FOR THE TAX INCREMENT FINANCING REINVESTMENT ZONE . WHEREAS, the City Council of the City of Lubbock, Texas, (the "City"), desires to promote the development of the Central Business District of the City of Lubbock by the creation of a Tax Increment Financing Reinvestment Zone, as authorized by the Tax Increment Financing Act, Chapter 311 of the Texas Tax Code, Vernon's Texas Codes Annotated (the "Act"); and WHEREAS, the City has called a public hearing to hear public comments on the creation of the proposed Tax Increment Financing Reinvestment Zone and its benefits to the City and the property in the proposed Tax Increment Financing Reinvestment Zone; and WHEREAS, notice of such public hearing was published in the Lubbock Avalanche-Journal, a daily paper of general circulation in the City, such publication date being not later than seven (7) days prior to the date of the public hearing; and WHEREAS, such hearing was convened at the time and place mentioned in the published notice, on the 15th day of November, 2001, at 11 o'clock a.m., in the Council Chamber of the City of Lubbock, Texas; and WHEREAS, the City, at such hearing, invited any interested person, or his/her representative, to appear and speak for or against the creation of the Tax Increment Financing Reinvestment Zone, the boundaries of the proposed Tax Increment Financing Reinvestment Zone, whether all or part of the territory which is described in Exhibit "A" attached hereto and depicted on the map attached hereto as Exhibit "B" should be included in such proposed Tax Increment Financing Reinvestment Zone, the concept of tax increment financing and the appointment of a board of directors of the proposed Tax Increment Financing Reinvestment Zone; and CBD TIF OrdinMce Page I WHEREAS, all owners of property located within the proposed Tax Increment Financing Reinvestment Zone and all other taxing units and other interested persons were given a reasonable opportunity at such public hearing to protest the creation of the proposed Tax Increment Financing Reinvestment Zone and\or the inclusion of their property in such Tax Increment Financing Reinvestment Zone; and WHEREAS, the proponents of the Tax Increment Financing Reinvestment Zone offered evidence, both oral and documentary, in favor of all of the foregoing matters relating to the creation of the Tax Increment Financing Reinvestment Zone, and opponents of the Tax Increment Financing Reinvestment Zone were given the opportunity to appear to contest creation of the wne, after which the hearing was closed; NOW THEREFORE: BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: SECTION 1: THAT the facts and recitations contained in the preamble of this ordinance are hereby found and declared to be true and correct. SECTION 2: THAT the City Council, after conducting such hearing and having heard such evidence and testimony, has made the following findings and determinations based on the evidence and testimony presented to it: a) That the public hearing on adoption of the Tax Increment Financing Reinvestment Zone has been properly called, held and conducted and that notice of such hearing has been published as required by law and delivered to all taxing units overlapping the territory inside the proposed Tax Increment Financing Reinvestment Zone. b) That creation of the proposed Tax Increment Financing Reinvestment Zone with boundaries as described in Exhibits "A" and "B" will result in benefits to the City, its residents, and property owners, in general, and to the property, residents and property owners in the Tax Increment Financing Reinvestment Zone. CBD TIF Ordinance Page 2 c) That the Tax Increment Financing Reinvestment Zone, as defined in Exhibits "A" and "B", meets the criteria for the creation of a Tax Increment Financing Reinvestment Zone set forth in the Act in that: (i) It is a contiguous geographic area located wholly within the corporate limits of the City. (ii) It substantially impairs the sound growth of the municipality creating the zone or constitutes an economic or social liability in its present condition and use because of the presence of: a. A substantial number of deteriorated, or deteriorating structures; b. Faulty lot layout in relation to size, adequacy, accessibility, or usefulness; and/or c. The deterioration of site or other improvements; d) That 10 percent or less of the property in the proposed Tax Increment Financing Reinvestment Zone, excluding property that is publicly owned, is used for residential purposes. e) That the total appraised value of all taxable real property in the proposed Tax Increment Financing Reinvestment Zone according to the most recent appraisc1l rolls of the City, together with the total appraised value of taxable real property in all other existing Tax Increment Financing Reinvestment Zones within the City, according to the most recent appraisal rolls of the City, does not exceed 15 percent of the cuTTent total appraised value of taxable real property in the City and in the industrial districts created by the City. f) That the proposed Tax Increment Financing Reinvestment Zone does not contain more than 15 percent of the total appraised value of real property taxable by a county or school district. g) That the improvements in the Tax Increment Financing Reinvestment Zone will significantly enhance the value of all taxable real property in the Tax Increment Financing Reinvestment Zone. CBD TJF Ordin~ncc Page 3 h) That the development or redevelopment of the property in the proposed Tax Increment Financing Reinvestment Zone will not occur solely through private investment in the reasonable foreseeable future. SECTION 3. That the City hereby creates a Tax Increment Financing Reinvestment Zone over the area described in Exhibit "A" attached hereto and depicted in the map attached hereto as Exhibit "B" and such Tax Increment Financing Reinvestment Zone shall hereafter be identified as the Central Business District Tax Increment Financing Reinvestment Zone, City of Lubbock, Texas (the "Zone" or "Tax Increment Financing Reinvestment Zone"). SECTION 4. That there is hereby established a board of directors for the Zone, which shall consist of nine (9) members. The board of directors of Central Business District Tax Increment Financing Reinvestment Zone shall be appointed as follows: a) Five (5) members shall be appointed by the City Council, one (1) member shall be appointed by the Commissioner's Court of Lubbock County, one (1) member shall be appointed by the Lubbock Independent School District; one (1) member shall be appointed by Lubbock County Hospital District; and one (1) member shall be appointed by High Plains Water Conservation District; provided, however, that if a taxing unit waives its right to appoint a member of the board, the City may appoint such board member instead. The initial board of directors shall be appointed by resolution of the governing bodies of the City and the taxing units as provided herein within sixty (60) days of the passage of this ordinance or within a reasonable time thereafter. All members appointed to the board shall meet the eligibility requirements set forth in the Act. b) The terms of the board members shall be two-year terms. The City Council shall designate a member of the board to serve as chairman of the board of directors, and the board shall elect from its members a vice chairman and other officers as it sees fit. CBD TIF Ordinance rage 4 c) The board of directors shall make recommendations to the City Council concerning the administration of the Zone. It shall prepare and adopt a project plan and Tax Increment Financing Reinvestment Zone financing plan for the Zone and must submit such plans to the City Council for its approval. The board of directors shall possess all powers necessary to prepare, implement and monitor such project and financing plans for the Tax Increment Financing Reinvestment Zone as the City Council considers advisable including the submission of an annual report on the status of the Zone. SECTION 5: That the Zone shall take effect on January 1, 2001. and that the termination of the Zone shall occur on December 31, 2020, or at an earlier time designated by subsequent ordinance of the City Council in the event the City determines that the Zone should be terminated due to insufficient private investment accelerated private investment or other good cause, or at such time as all project costs and tax increment bonds, if any, and the interest thereon, have been paid in full. The termination date may also be extended by subsequent ordinance of the City Council. SECTION 6: That the Tax Increment Base for the Zone which is the total appraised value of all taxable real property located in the Zone, is to be determined as of fanuary 1, 200 I, the year in which the Zone was designated a Tax Increment Financing Reinvestment Zone. SECTION 7: That there is hereby created and established a Tax Increment Fund for the Zone which may be divided into such sub-accounts as may be authorized by subsequent resolution or ordinance, into which all Tax Increments, less any of the amounts not required to be paid into the Tax Increment Fund pursuant to the Act, are to be deposited. The Tax Increment Fund and any sub-accounts are to be maintained in an account by the City and shall be secured in the manner prescribed by law for funds of Texas cities. In addition, all revenues from the sale of any tax increment bonds and notes hereafter issued by the City, revenues from the sale of any property acquired as part of the tax increment financing plan and other revenues to be dedicated to and used in the CBD TIF Ordinwice Page 5 ( Zone shall be deposited into such fund or sub-account from which money will be dishursed to pay project costs for the Zone or to satisfy the claims of holders of tax increment bonds or notes issued for the Zone. SECTION 8: That if any section, paragraph, clause or prov1s10n of this Ordinance shall for any reason be held to be invalid or unenforceable, the invalidity or unenforceability of such section, paragraph, clause or provision shall not affect any of the remaining provisions of this Ordinance. AND IT IS SO ORDERED PASSED by the City Council on first reading this 15th day of November, 2001. PASSED by the City Council on second reading~- ATTEST: Q.J,..,,_,. n.~ Rebecca Garza, City Secretary Crrug F r Managing Director of Planning APPROVED AS TO FORM: -------------Lind a L. Charnales Supervising Attorney, Office Practice LC :IC i tyatl/Lind a/TJF. Ord-CB D &cede cs November 6, 200 I CBD TIF Ordinance rage6 Ordinance No. 2001-00091 Central Business District Tax Increment Financing Reinvestment Zone Boundary Description Exhibit A November 15, 2001 Beginning at the northwest comer of the intersection of 3rd Street and University Avenue, Then east along the northern right-of-way of 3rd Street to Texas Avenue; Then north along the eastern right-of-way of Texas Avenue to the northern right-of way of 2nd Place, Then east along the northern right-of-way of 2nd Place to the western right-of-way of the alley west of Avenue H, Then north along the western right-of-way of the alley to 1st Place; Then east along the southern right-of-way of 1st Place to A venue H; Then north to the northern section line of Block A, Section 79, Then east along the section line to the northeast comer ofTobasco Valley Addition, Lot 1; Then south to the eastern right-of-way of Interstate Highway 27; Then south east along the eastern right-of-way of Interstate Highway 27 to the northern right-of-way of the Marsha Sharp Freeway; Then west along the northern right-of-way of the Marsha Sharp Freeway to the eastern right-of-way of Avenue Q; Then south along Avenue Q to the southern right-of-way of the Marsha Sharp Freeway; Then east along the southern right-of-way of Marsha Sharp Freeway to the eastern right- of-way of Interstate 27, Then south along the Interstate 27 right-of-way to a point parallel the with the southern edge of the Buddy Holly A venue underpass of Interstate 2 7; Then west and north along the southern edge of the underpass to the west right-of-way of Buddy Holly Avenue; Then north to the northern right-of-way of 23rd Street; Then west to the western right-of-way of the alley between Avenue J and Avenue K; Then north along the western right-of-way of the alley to the north boundary of Lot 7, Block 1, Mrs. I.A. Boyd Subdivision of Block I, South Side Addition; Then west to the western right-of-way of Avenue K; 1 Then south to the northern boundary of the South½ of Lot 12, Block 1, J.V. Roy Subdivision; Then west to the western right-of-way of the alley between Avenue Kand Avenue L; Then north along the western right-of-way of the alley to the northern boundary oflot 2- A, Block 1, J.V. Roy Subdivision; Then west to the western right-of-way of A venue L; Then north to the northern boundary of Lot 15, Block 1, Pickett and Penney Addition; Then along the northern boundary of Lots 15 and 6, Block 1, Pickett and Penney Addition to the western right-of-way of Avenue M; Then south to the northern boundary of the south½ of Lot 6, Block 1, Penney Addition; Then west to the western right-of-way of the alley; Then south along the western right-of-way of the alley to the northern boundary of Lot 7, Block 1, Myrick's Addition; Then west to the western right-of-way of Avenue N; Then north to the northern boundary of Lot 4, Block 2, Myrick's Addition; Then west to the western right-of-way of the alley between Avenue N and Avenue O; Then south along the western right-of-way of the alley to the southeast corner of Block 1, McCrummen' s I st Addition; Then west to the southwest corner of Block 1, McCrummen's 1st Addition; Then north to the northern boundary of Lot 4, Block 7, Heim Addition; Then west to the western right-of-way of A venue O; Then south to the northern boundary of Lot 7, Block 8, McCrummen's 1st Addition, Then west to the western right-of-way of Avenue P; Then south to the northern boundary of Lot 4, Block 1, Summers Cockrell Addition; Then west to the western right-of-way of the alley; Then north along the western right-of-way of the alley to the northern boundary of the south 50 feet of Lot 3, Dixieland Addition; Then west to the northeast comer of Lot 22, Dixieland Addition; Then west to the western right-of-way of the alley between Avenue P and Avenue Q and south to the northern boundary of Lot 18, Block 2, McCrummen's 2nd Addition (also knmvn as Davis Subdivision of Block 2, McCrummen's 2nd Addition, unrecorded); Then west to the western right-of-way of Avenue Q; 2 Then north to the northern boundary of Lot 3, Block 3, Knight Subdivision of Block 3, McCrummen's 2nd Addition; Then west to the western right-of-way of the alley between A venue Q and Avenue R; Then north along the western right-of-way of the alley between Avenue Q and Avenue R to the southern right-of-way of 7'11 Street; Then west to the southwest corner of the intersection of ih Street and A venue R; Then north along the western right-of-way of Avenue R to the northwest corner of the intersection of 6th Street and A venue R; Then east to the western right-of-way of the alley between Avenue Rand Avenue Q; Then north along the western right-of-way of the alley to the northern right-of-way of the Marsha Sharp Freeway; Then west along the Marsha Sharp Freeway right-of-way to the western right-of-way of University A venue; Then north to the point of beginning. In addition to the properties included in the above described boundary, the district includes the following rights-of-way: The right-of-way within Broadway from the east right-of-way of Interstate 27 to the east right-of-way of Avenue A; The right-of-way within Avenue A from the north right-of-way of Broadway to the south right-of-way of 19th Street; and The right-of-way within 19th Street from the east right-of-way of Avenue A to the east right-of-way of Interstate 2 7. 3 Ordinance No. 2001-00091 CBOTIF