HomeMy WebLinkAboutResolution - 4974 - Joint Resolution-Lubbock County & LISD-Commerical Tax Abatement Guidelines - 09/28/1995Resolution No. 4974
September 28, 1995
Item #38
RESOLUTION
JOINT RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LUBBOCK, THE
COUNTY COMMISSIONERS OF LUBBOCK COUNTY AND THE BOARD OF TRUSTEES
OF LUBBOCK INDEPENDENT SCHOOL DISTRICT TO ADOPT GUIDELINES AND
CRITERIA FOR COMMERCIAL TAX ABATEMENT AGREEMENTS IN ACCORDANCE
WITH THE PROPERTY REDEVELOPMENT AND TAX ABATEMENT ACT.
WHEREAS, there have been created two enterprise zones within the areas under the
jurisdiction of the City of Lubbock, the County of Lubbock and the Lubbock Independent School
District; and
WHEREAS, in October of 1993, each of the above described entities approved uniform
guidelines and criteria for the application of incentives within the designated enterprise zones;
and
WHEREAS, the guidelines and criteria approved will expire under the terms of the
Property Redevelopment and Tax Abatement Act upon the second anniversary of their adoption;
NOW THEREFORE:
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK, THE COUNTY
COMMISSIONERS OF LUBBOCK COUNTY AND THE BOARD OF TRUSTEES OF
LUBBOCK INDEPENDENT SCHOOL DISTRICT:
THAT the City Council of the City of Lubbock, the County Commissioners of Lubbock
County and the Board of Trustees of Lubbock Independent School District hereby approve and
adopt Guidelines and Criteria Governing Tax Abatement for Commercial Projects within the
designated City of Lubbock Enterprise Zones, which guidelines and criteria are attached as
Exhibit "A" and are made a part hereof for all intents and purposes. These guidelines shall
become effective upon the expiration of the previously approved guidelines.
THAT this Resolution in no manner effects additional local incentives which may be
added or deleted by the various governing bodies during the life of the enterprise zones as
required to obtain the best possible mix of incentives to insure the success of the enterprise zone
program.
Passed by the City Council of the City of
1995. i
ATTEST:
Betty ohnso , City Secretary
8th day of September
1119
Passed by the Lubbock County Commissioners this 9th day of October ,
1995.
DON M BEATH, COUNTY JUDGE
ATTEST:
Ann Davidson, ecretary
Pased by the Board of Trustees of Lubbock Independent School District this day of
t e -t6 tum , 1995.
AT,
Roy T. G s; e ary
JES.js/ABATE.RES
ccdocs/August 23, 1995
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Lo 6'�
WILLIAM MILLER, PRESIDENT
EXHIBIT "A!'
GUIDELINES AND CRITERIA GOVERNING TAX ABATEMENT
FOR COWAERCIAL PROJECTS IN DESIGNATED ENTERPRISE ZONES
IN THE CITY OF LUBBOCK
SECTION L General Purpose:
The City of Lubbock is committed to the promotion of high quality commercial
development in designated Enterprise Zones within the City; and to an ongoing improve-
ment in the duality of life for citizens residing in designated Enterprise Zones. The
Affected Jurisdictions recognize that these objectives are generally served by enhancement
and expansion of the local economy. The Affected Jurisdictions will, on a case-by-case
basis, give consideration to providing tax abatement, as authorized by V.T.C.A., Tax
Code, Chapter 312, as stimulation for economic development within the designated
Enterprise Zones in the City of Lubbock. It is the policy of the Affected Jurisdictions that
said consideration will be provided in accordance with the guidelines and criteria herein set
forth and in conformity with the Tax Code.
Nothing contained herein shall imply, suggest or be understood to mean that the
Affected Jurisdictions are under any obligation to provide tax abatement to any specific
applicant (V.T.C.A. Tax Code, Section 312.002(d)). With the above rights reserved, all
applicants for tax abatement will be considered on a case-by-case basis.
SECTION IL Definitions:
As used within these guidelines and criteria, the following words or phrases shall
have the following meaning:
1. Abatement of Taxes: To exempt from ad valorem taxation all or part of the
value of certain Improvements placed on land located in a designated
Enterprise Zone for commercial development purposes for a period of time
not to exceed ten (10) years.
2. Affected Jurisdiction: The City of Lubbock, the County of Lubbock, and
the Lubbock Independent School District.
3. Abatement Agreement: (1) A contract between a property owner and the
Affected Jurisdictions for the abatement of taxes on qualified property
located within a designated Enterprise Zone as authorized by V.T.C.A., Tax
Code, Section 312.204(a).
4. Base Year Value: The assessed value of property eligible for tax abatement
as of January 1 preceding the execution of an Abatement Agreement as
herein defined.
5. Renovation of Existing Facilities or Structures: The addition of buildings,
structures, machinery or equipment to a Facility after the date of execution of
an Abatement Agreement.
August 1995
6. Existing Facility or Structure: A Facility as of the date of execution of the
Tax Abatement Agreement, located in or on Real Property eligible for tax
abatement.
7. Facility: The improvements made to Real Property eligible for tax abate-
ment and including the building or structure erected on such Real Property
and/or any Tangible Personal Property to be located in or on such property.
8. Improvements to Real Property or Improvements: Shall mean the
construction, addition to, structural upgrading of replacement of or
completion of any facility located upon, or to be located upon, Real
Property, as herein defined, or any Tangible Personal Property placed in or
on said Real Property.
9. New Facility: The construction of a Facility on previously undeveloped real
property eligible for tax abatement.
10. Owner. The record title owner of Real Property or the legal owner of
Tangible Personal Property. In the case of land leased from an Affected
Jurisdiction, the lessee shall be deemed the owner of such leased property
together with all improvements and Tangible Personal Property located
thereon.
11. Productive Life: The number of years a Facility is expected to be in service.
12. Real Property: Land on which Improvements are to be made or fixtures
placed.
13. Tangible Personal Property: Any Personal Property, not otherwise defined
herein, and which is necessary for the proper operation of any type of
Facility.
SECTION III. Intent of Criteria and Guidelines:
The intent of the criteria and guidelines, as herein set forth, is to establish the
minimum standards which an applicant for tax abatement must meet in order to be con-
sidered for such status by the Affected Jurisdictions.
SECTION IV. Criteria and Guidelines for Tax Abatement:
1. Any type of Facility will be eligible for tax abatement consideration provided
such Facility meets the following guidelines and criteria:
2. A business must clearly add to the Lubbock economic base. Compliance
with this criterion must show that additional jobs are being provided and the
jobs being proposed will not simply displace other similar jobs in the
community.
3. Creation of new value: Abatement may only be granted for the additional
value resulting from any of the following:
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(a) modernization of a facility of any type as herein defined;
(b) construction of a new facility of any type as herein defined;
(c) expansion of a facility of any type as herein defined.
4. New or existing facilities, of any type herein defined, located in a
reinvestment zone or upon Real Property eligible for such status will be
eligible for consideration for tax abatement status provided all other criteria
or guidelines are satisfied.
5. Improvements to Real Property are eligible for tax abatement status.
6. The following types of property shall be ineligible for tax abatement status
and shall be taxed:
(a) Real Property;
(b) inventories or supplies;
(c) tools;
(d) fiunishings and other forms of movable personal property;
(e) vehicles;
(f) aircraft;
(g) housing;
(h) boats;
(i) hotel accommodations;
0) motel accommodations;
(k) property owned by the State of Texas or any state agency; and,
0) property owned or leased by a member of the affected Jurisdiction.
7. In order for a Facility to qualify for abatement, the following conditions must
apply:
(a) The Real Property and eligible improvements and Tan*ible Personal
Property must be owned by the same person, corporation, partnership
or other business entity; or,
(b) In the case of Real Property leased from Affected Jurisdiction all
improvements placed thereon together with all Tangible Personal
Property used in conjunction with said improvements must be owned
by the same person, corporation, partnership or other business entity,
and said owner must have a lease commitment of at least 15 years.
OU DEUM AND CRITERIA OOVERNINO COMMERCIAL TAX ABATEMENT
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(c) Property must be properly zoned for the use stated by the owner in
the application.
8. The amount and term of abatement shall be determined on a case-by-case
basis, however, in no event shall taxes be abated for a term in excess of ten
(10) years. The amount of the taxable value of Improvements to be abated
and the term of the abatement shall be determined by the Affected Jurisdiction
in all cases. The authority of all other taxing units shall be as set forth in
V.T.C.A., Tax Code, Section 312.206.
9. No commercial property shall be eligible for tax abatement under these
guidelines and criteria unless such property is located in a designated
Enterprise Zone in accordance with V.T.C.A., Tax Code, Section 312.202.
10. The economic qualification for tax abatement shall be as follows:
(a) Qualifications for up to five (5) years tax abatement:
(1) The creation of at least five new jobs.
(b) Qualification for six (6) years tax abatement:
(1) Create and retain a minimum of five (5) new jobs or increase
existing employment by 5%.
(2) Minimum investment one (1) million dollars.
(c) Qualification for seven (7) years tax abatement:
(1) Create and retain a minimum of ten (10) new jobs or increase
existing employment by 10%.
(2) N4inimum investment two (2) million dollars.
(d) Qualification for eight (8) years tax abatement:
(1) Create and retain a minimum of fifteen (15) new jobs or
increase existing employment by 15%.
(2) Murimum investment three (3) million dollars.
(e) Qualification for nine (9) years tax abatement:
(1) Create and retain a minimum of twenty (20) new jobs or
increase existing employment by 20%.
(2) Minimum investment four (4) million dollars.
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(f) Qualification for ten (10) years tax abatement:
(1) Create and retain a minimum of twenty-five (25) new jobs or
increase existing employment by 25%.
(2) NImimum investment five (5) million dollars.
(g) New Facility:
(1) The creation of a new Facility, which has not previously existed
within the Affected Jurisdiction, and will be a totally new business
operation.
(h) Renovation of Existing Facility:
(1) The structural addition to a Facility.
(i) Notwithstanding any of the requirements set forth in Section 9, the
governing body of an Affected Jurisdiction upon the affirmative vote of
three-fourths of its members may vary any of the above requirements
when variation is demonstrated by the applicant for Tax Abatement that
variation is in the best interest of the Affected Jurisdiction to do so, and
will enhance the economic development of the Affected Jurisdiction.
By way of example only, and not by limitation, the governing body of
an Affected Jurisdiction may consider the following or similar terms in
determining whether a variance shall be granted:
(1) That the increase in productivity of the Facility will be substantial,
and hence directly benefit the economy.
(2) That the increase of goods or services produced by the Facility
will be substantial, and directly benefit the economy.
(3) That the employment maintained at the Facility will be increased.
(4) That the waiver of the requirement will contribute, and provide
for the retention of existing jobs within the Affected Jurisdiction.
(5) That the applicant for tax abatement has demonstrated that if tax
abatement is granted to his Facility, even though his Facility will
not employ additional personnel that, nevertheless, due to the
existence of said Facility, new jobs will be created as a direct
result of his Facility in other facilities located within the
Affected Jurisdiction.
(6) Any other evidence tending to show a direct economic benefit to
the Affected Jurisdiction.
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11. Taxability:
(a) The portion of the value of Improvements to be abated shall be abated
in accordance with the terms and provisions of a Tax Abatement
Agreement executed between the Affected Jurisdiction and the owner
o the Real Property and/or Tangible Personal Property, (which
agreement shall be) in accord with the provisions of V.T.C.A., Tax
Code, Section 312.205.
(b) All ineligible property, if otherwise taxable as herein described, shall be
My taxed.
12. The governing body of each Affected Jurisdiction shall have total discretion
as to whether tax abatement is to be granted. Such discretion, as herein
retained, shall be exercised on a case-by-case basis. The adoption of these
guidelines and criteria by the governing body of an Affected Jurisdiction does
not:
(a) Limit the discretion of the governing body to decide whether to enter
into a specific tax abatement agreement;
(b) Limit the discretion of the governing body to delegate to its employees
the authority to determine whether or not the governing body should
consider a particular application or request for tax abatement; or,
(c) Create any property, contract, or other legal right in any person to have
the governing body consider or grant a specific application or request
for tax abatement.
13. The burden to demonstrate that an application for tax abatement should be
granted shall be upon the applicant. Each Affected Jurisdiction to which the
application has been directed shall have fill authority to request any
additional information from the applicant that the governing body of such
Affected Jurisdiction deems necessary to assist it in considering such
application.
SECTION V. Tax Abatement Agreement:
1. The Tax Abatement Agreement may be executed between the owner and the
municipality. A Tax Abatement Agreement shall:
(a) Establish and set forth the Base Year assessed value of the property for
which tax abatement is sought.
(b) Provide that the taxes paid on the Base Year assessed value shall not be
abated as a result of the execution of said Tax Abatement Agreement.
(c) Provide that ineligible property as subscribed in Section IV, Subsection
6, hereinabove shall be fully taxed.
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(d) Provide for the exemption of Improvements in each year covered by the
agreement, only to the extent the value of such Improvements for each
such year exceeds the value for the year in which the agreement is
executed.
(e) Fully describe and list the kind, number and location of all of the
improvements to be made in or on the Real Property.
M Set forth the estimated value of all improvements to be made in or on
the Real Property.
(g) Clearly provide that tax abatement shall be granted only to the extent:
(1) The improvements to Real Property increase the value of the Real
Property for the year in which the Tax Abatement Agreement is
executed; and,
(2) That the Tangible Personal Property improvements to Real
Property were not located on the Real Property prior to the
execution of the Tax Abatement Agreement.
(h) Provide for the portion of the value of the improvements to Real
Property or improvements to be abated. This determination is to be
made consistent with the provisions of Section IV, Subsection 6, of
these guidelines and criteria as hereinabove set forth.
(i) Provide for the commencement date and the termination date. In no
event shall said dates exceed a period of ten (10) years.
(j) Describe the type and proposed use of the improvements to Real
Property or improvements including:
(1) The type of facility.
(2) Whether the improvements are for a new facility or renovation of
a facility.
(3) The nature of the construction, proposed time table of completion
a map or drawings of the improvements above mentioned.
(4) The amount of investment and the commitment for the creation of
new jobs.
(5) A list containing the kind, number and location of all proposed
improvements.
(6) Any other information required by the Affected Jurisdiction.
(k) Provide a legal description of the Real Property upon which
improvements are to be made.
GUDEUNES SND CRMMU oovERNnvo COMMERCIAL TAX ABATEMENT
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(1) Provide access to and authorize inspection of the Real Property or
improvements by employees of the Affected Jurisdiction, who have
executed a Tax Abatement Agreement with owner to insure
improvements are made according to the specifications and conditions
of the Tax Abatement Agreement.
(m) Provide for the limitation of the uses of the Real Property or improve-
ments consistent with the general purpose of encouraging development
or re -development of the zone during the period covered by the Tax
Abatement Agreement.
(n) Provide for contractual obligations in the event of default by owner,
violation of the terms or conditions by owner, recapturing property tax
revenue in the event the owner defaults or otherwise fails to make
improvements as provided in said Tax Abatement Agreement, and any
other provision as may be required or authorized by State law.
(o) Contain each term agreed to by the owner of the property;
(p) Require the owner of the property to certify annually to the governing
body of each taxing unit that the owner is in compliance with each
applicable term of the agreement; and
(q) Provide that the governing body of the municipality may cancel or
modify the agreement if the property owner fails to comply with the
agreement.
2. Not later than the seventh day before the City of Lubbock (as required by
V.T.C.A., Tax Code, Section 312.2041 or Section 312.402) enters into an
agrcemait for tax abatement under V.T.C.A., Tax Code, Section 312.204,
the governing body or a designated officer or employee thereof shall deliver
to the presiding officer of the governing body of each of the taxing units in
which the property to be subject to the agreement is located, a written notice
that the City intends to enter into the agreement. The notice must include a
copy of the proposed Tax Abatement Agreement.
3. A notice, as above described in Subparagraph 2, is presumed delivered when
placed in the mail, postage paid and properly addressed to the appropriate
presiding officer. A notice properly addressed and sent by registered or
certified mail for which a return receipt is received by the sender is
considered to have been delivered to the addressee.
4. Failure to deliver the notice does not affect the validity of the agreement.
SECTION VL Anulication:
1. Any present owner of taxable commercial property located within the desig-
nated Enterprise Zone of the City of Lubbock may apply for tax abatement
by filing an application with the City of Lubbock.
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2. The application shall consist of a completed application form accompanied
by:
(a) A general description of the improvements to be undertaken.
(b) A descriptive list of the improvements for which tax abatement is
requested.
(c) A list of the kind, number and location of all proposed improvements of
the Real Property Facility of Existing Facility.
(d) A map indicating the approximate location of improvements on the
Real Property Facility or Existing Facility together with the location of
any or all Existing Facilities located on the Real Property or Facility.
(e) A list of any and all Tangible Personal Property presently existing on
the Real Property or located in an existing facility.
(f) A legal description of property.
(g) Address of property.
(h) A proposed time schedule for undertaking and completing the proposed
improvements.
(i) A general description stating whether the proposed improvements are
in connection with:
(1) the renovation of a facility; or,
(2) construction of a new facility.
(j) A statement of the additional value to the Real Property or Facility as a
result of the proposed improvements.
(k) A statement of the assessed value of the Real Property, Facility or
Existing Facility for the Base Year.
(1) Information concerning the number of new jobs that will be created or
information concerning the number of existing jobs to be retained as
result of the improvements undertaken.
(m) Any other information which the City of Lubbock deems appropriate
for evaluating the financial capacity of the applicant and compatibility
of the proposed improvements with these guidelines and criteria.
(n) Information that is provided to an Affected Jurisdiction in connection
with an application or request for tax abatement, and which describes
the specific processes or business activity to be conducted or the
equipment or other property to be located on the property for which
tax abatement is sought is confidential and not subject to public
disclosure until the Tax Abatement Agreement is executed.
Information in the custody of an Affected Jurisdiction after the
GUH) .LIN N AND CRITERIA OOVERNNM COMMERCIAL TAX ABATEMENT
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agreement is executed is not confidential. (V.T.C.A., Tax Code,
Section 312.003).
(o) The City of Lubbock shall determine if the property described in said
application is within a designated Enterprise Zone. If the City
determines that the property described is not within a current
Enterprise Zone, then they shall so notify the applicant and said
application shall then be returned to the applicant.
SECTION VII. Recapture:
1. In the event that any type of facility, (as defined in Section ll, Subparagraphs
5, 6, 7, 8, 9) is completed and begins producing goods or services, but
subsequently discontinues producing goods or services for any reason,
excepting fire, explosion or other casualty or accident or natural disaster or
other event beyond the reasonable control of applicant or owner for a period
of 180 days during the term of a tax abatement agreement, then in such event
the Tax Abatement Agreement shall terminate and all abatement of taxes
shall likewise terminate. Taxes abated during the calendar year in which
termination takes place shall be payable to each Affected Jurisdiction by no
later than January 31 st of the following year. Taxes abated in years prior to
the year of termination shall be payable to each Affected Jurisdiction within
sixty (60) days of the date of termination. The burden shall be upon the
applicant or owner to prove to the satisfaction of the Affected Jurisdiction to
whom the application for tax abatement was directed that the discontinuance
of producing goods or services was as a result of fire, explosion, or other
casualty or accident or natural disaster or other even beyond the control of
applicant or owner. In the event the applicant or owner meets this burden,
and the Affected Jurisdiction is satisfied that the discontinuance of the
production of goods or services was the result of events beyond the control
of the applicant or owner, then such applicant or owner shall have a period of
one ym in which to resume the production of goods and services. In the
event that the applicant or owner fails to resume the production of goods or
services within one year, then the Tax Abatement Agreement shall terminate
and the Abatement of all taxes shall likewise terminate. Taxes abated during
the calendar year in which termination takes place shall be payable to each
Affected Jurisdiction by no later than January 31 st of the following year.
Taxes abated in years prior to the year of termination shall be payable to each
Affected Jurisdiction within sixty (60) days of the date of termination. The
one year time period, hereinabove mentioned, shall commence upon written
notification from the Affected Jurisdiction to the applicant or owner.
2. In the event that the applicant or owner has entered into a tax abatement
agreement to make improvements to a facility of any type described in
Section 1 above, but fails to undertake or complete such improvements, then
in such event the Affected Jurisdiction to whom the application for tax
abatement was directed shall give the applicant or owner sixty (60) days
notice of such failure. The applicant or owner shall demonstrate to the
satisfaction of the Affected Jurisdiction, above mentioned, that the applicant
or owner has commenced to cure such failure within the sixty (60) days
above mentioned. In the event that the applicant or owner fails to
demonstrate that he is taking affirmative action to cure his failure, then in
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such event the Tax Abatement Agreement shall terminate and all abatement
of taxes shall likewise terminate. Taxes abated during the calendar year in
which termination takes place shall be payable to each Affected Jurisdiction
by no later than January 31 st of the following year. Taxes abated in years
prior to the year of termination shall be payable to each Affected Jurisdiction
within sixty (60) days of the date of termination.
In the event that the Affected Jurisdiction to whom application for tax abate-
ment was directed determines that the applicant or owner is in default of any
of the terms or conditions contained in the Tax Abatement Agreement, then
in such event the Affected Jurisdiction shall give the applicant or owner sixty
(60) days written notice to cure such default. In the event such default is not
cured to the satisfaction of the Affected Jurisdiction within the sixty (60)
days notice period, then the Tax Abatement Agreement shall terminate and
all abatement of taxes shall likewise terminate. Taxes abated during the
calendar year in which termination takes place shall be payable to each
Affected Jurisdiction by no later than January 31 st of the following year.
Taxes abated in years prior to the year of termination shall be payable to each
Affected Jurisdiction within sixty (60) days of the date of termination.
4. In the event that the applicant or owner allows ad valorem taxes on property
ineligible for tax abatement owed to any Affected Jurisdiction, to become
delinquent and fails to timely and properly follow the legal procedures for
their protest or contest, then in such event the Tax Abatement Agreement
shall terminate and all abatement of taxes shall likewise terminate. Taxes
abated during the calendar year in which termination, under this
sub takes place shall be payable to each Affected Jurisdiction by
no er than January 31 st of the following year. Taxes abated in )rears prior
to the year of termination shall be payable to each Affected Jurisdiction
within sixty (60) days of the date of termination.
5. In the event that the applicant or owner, who has executed a tax abatement
agreement with any Affected Jurisdiction, relocates the business, for which
tax abatement has been granted, to a location outside of the designated
reinvestment zone, then in such event, the Tax Abatement Agreement shall
terminate after sixty (60) days written notice by the Affected Jurisdiction to
the Owner/Applicant. Taxes abated during the calendar year in which
termination, under this subparagraph takes place shall be payable to each
Affected Jurisdiction by no later than January 31 st of the following year.
Taxes abated in years prior to the year of termination shall be payable to each
Affected Jurisdiction within sixty (60) days of the date of termination.
6. The date of termination as that term is used in this Subsection VIII shall, in
every instance, be the 60th day after the day the Affected Jurisdiction sends
notice of default, in the mail to the address shown in the Tax Abatement
Agreement to the Applicant or Owner. Should the default be cured by the
Owner or Applicant within the sixty (60) day notice period, the Owner/
Applicant shall be responsible for so advising the Affected Jurisdiction and
obtaining a release from the notice of default from the Affected Jurisdiction,
failing in which, the abatement remains terminated and the abated taxes must
be paid.
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7. In every case of termination set forth in Subparagraphs 1, 2, 3, 4 and 5
above, the Affected Jurisdiction to which the application for tax abatement
was directed shall determine whether default has occurred by Owner
(Applicant) in the terms and conditions of the Tax Abatement Agreement and
shall so notify all other Affected Jurisdictions. Termination of the Tax
Abatement Agreement by the Affected Jurisdiction to which the application
for tax abatement was directed shall constitute simultaneous termination of
all Tax Abatement Agreements of all other Affected Jurisdictions.
8. In the event that a tax abatement agreement is terminated for any reason
whatsoever, and taxes are not paid within the time period herein specified,
then in such event, the provisions of V.T.C.A., Tax Code, Section 33.01 will
apply.
SECTION DL Miscellaneous:
Any notice required to be given by these criteria or guidelines shall be given
in the following manner:
(a) To the Owner or Applicant: written notice shall be sent to the address
appearing on the Tax Abatement Agreement.
(b) To an Affected Jurisdiction: written notice shall be sent to the address
appearing on the Tax Abatement Agreement.
The Chief Appraiser of the Lubbock Central Appraisal District shall annually
assess the Real and Personal Property comprising the reinvestment zone.
Each year, the Applicant or Owner receiving tax abatement shall fiimish the
Chief Appraiser with such information as may be necessary for the
abatement. Once value has been established, the Chief Appraiser shall notify
the Affected Jurisdictions which levy taxes of the amount of assessment.
3. Upon the completion of improvements made to Facility as set forth in
Section VIII, Subparagraph 1 of these criteria and guidelines, a designated
employee or employees of any Affected Jurisdiction having executed a tax
abatement agreement with Applicant or Owner shall have access to the
Facility to ensure compliance with the Tax Abatement Agreement.
4. A Tax Abatement Agreement may be assigned to a new owner, but only after
written consent has been obtained from aff Affected Jurisdictions which have
executed such an agreement with the Applicant or Owner.
These guidelines and criteria are effective upon the date of their adoption by
an Affected Jurisdiction and shall remain in force for two years. At the end
of the two-year period, these guidelines and criteria may be re -adopted,
modified, amended or re -written as the conditions may warrant.
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6. Each Affected Jurisdiction shall determine whether or not said Affected
Jurisdiction elects to become eligible to participate in tax abatement. In the
event the Affected Jurisdiction elects by resolution to become eligible to
participate in tax abatement, then such Affected Jurisdiction shall adopt these
guidelines and criteria by separate resolution forwarding a copy of both
resolutions to all other Affected Jurisdictions.
7. In the event of a conflict between these guidelines and criteria and V.T.C.A.,
Tax Code, Chapter 312, then in such event, the Tax Code shall prevail, and
these guidelines and criteria interpreted accordingly.
8. The guidelines and criteria, once adopted by an Affected Jurisdiction, may be
amended or repealed by a vote of three-fourths of the members of the
governing body of an Affected Jurisdiction during the two-year term in
which these guidelines and criteria are effective.
9. The Property Re -development and Tax Abatement Act is subject to review
as provided by the Texas Sunset Act (Section 325.0082 Government Code).
If not continued in effect, this statute expires September 1, 2001.
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