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RE 11-28-95.1 A RESOLUTION OF THE CITY OF COPPELL, TEXAS RESOLUTION NO. 112895.1 A RESOLUTION OF THE CITY OF COPPELL, TEXAS, APPROVING THE TERMS AND CONDITIONS OF A TAX ABATEMENT AGREEMENT BY AND BETWEEN THE CITY OF COPPELL, TEXAS, AND MEPC QUORUM PROPERTIES II INC.; AUTHORIZING ITS EXECUTION BY THE MAYOR; AND PROVIDING AN EFFECTIVE DATE. WHEREAS, the City Council has been presented a proposed Tax Abatement Agreement by and between the City of Coppell, Texas, and MEPC Quornm Properties H Inc., a copy of which is attached hereto as Exhibit "A" and incorporated herein by reference; and WHEREAS, upon fldl review and consideration of the Agreement, and all matters attendant and related thereto, the City Council is of the opinion and finds that the terms and conditions thereof should be approved, and that the Mayor should be authorized to execute the Agreement on behalf of the City of Coppell, Texas; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF COPPELL, TEXAS, that: 1. The Tax Abatement Agreement, Exhibit "A", having been reviewed by the City Council of the City of Coppell, Texas, and found to be acceptable and in the best interest of the City and its citizens, be, and the same is hereby, in all things approved, and the Mayor is hereby authorized to execute the Agreement on behalf of the City of Coppell, Texas. 2. The City Council finds that the improvements proposed to be built upon the Premises described in the Agreement will enhance the economic vitality of the community through a combination of new capital investment, increased sales tax revenues, and the creation of additional job opportunities. 3. The tax abatement to be granted by the Agreement will not include inventories, and supplies. 4. The improvements proposed for the Premises will accomplish the tax abatement guidelines of the City of Coppell, Texas. 5. The City Manager delivered to the presiding officer of the governing body of 5. The City Manager delivered to the presiding officer of the governing body of each taxing unit in which the property subject to the Tax Abatement Agreement is located, a written notice that the City of Coppell, Texas, intends to enter into the Agreement. The notice given by the City Manager included a copy of the Tax Abatement Agreement approved by this Resolution. 6. This Resolution and the Tax Abatement Agreement are hereby approved by the affirmative vote of the majority of the members of the City Council of the City of Coppell, Texas, at a regularly scheduled meeting of the City Council. 7. This Resolution shall become effective immediately from and after its passage, provided that the Tax Abatement Agreement approved hereby shall be effective as of January 1, 1996, and for the tax year 1996 and following for the term thereof. DULY RESOLVE.,~t AND MIOPTED by the City Council of the City of Coppell, Texas, on this the ~2g--'-'-'~ay of' z///~_~,~ , 1995. CITY OF COPPEI I~ TEXAS TOM MORTON, MAYOR ATEEST: LIND-A GRA~',-vASSISTANT CITY SECRETARY APPROVED AS TO FORM: PETER G. S~, CITY ATFORNEY (PGS/jd 11-15-95) AGG07928 STATE OF TEXAS § § TAX ABATEMENT AGREEMENT COUNTY OF DAI] AS § This Tax Abatement Agreement (the "Agreement") is entered into by and between the City of Coppell, Texas (the "City"), a home nde city and municipal corporation of Dallas County, Texas, duly acting herein by and through its Mayor, and MEPC Quorum Properties II, Inc. ("MEPC'), a Delaware corporation, acting by and through its authorized officer. WITNESSETH: WHEREAS, on the 9th day of May, 1995, the City Council of the City of Coppell, Texas, (the "City"), passed an Ordinance (the "Ordinance") establishing Tax Abatement Reinvestment Zone No. 5 (the "Zone"), for commercial/industrial tax abatement, as authorized by the Property Redevelopment and Tax Abatement Act, Chapter 312 of the Texas Tax Code, as amended (the "Tax Code"); and WHEREAS, on the 12th day of September, 1995, the City adopted an amended guidelines for tax abatement (the "Tax Abatement Guidelines") attached hereto as Exhibit "A" and made a part hereof for all purposes; and WHEREAS, the Tax Abatement Guidelines contain appropriate guidelines and criteria governing tax abatement agreements to be entered into by the City as contemplated by the Tax Code; and WHEREAS, the City has adopted a resolution stating that it elects to be eligible to participate in tax abatement; and WHEREAS, in order to maintain and enhance the commercial and industrial economic and employment base of the Coppell area, it is in the best interests of the taxpayers for the City to enter into this Agreement in accordance with said Ordinance, the Tax Abatement Guidelines and the Tax Code; and WHEREAS, MEPC's development efforts described herein will create permanent new jobs in the City; and WHEREAS, the City Council finds that the contemplated use of the Premises (hereinafter defined), the contemplated improvements to the Premises in the amount set forth in this Agreement, and the other terms hereof are consistent with encouraging development of the Zone in accordance with the purposes for its creation and/or in compliance with the Tax Abatement Guideline, the Ordinance adopted by the City, the Tax Code and all other applicable laws; and WHEREAS, the City Council finds that the improvements sought are feasible and practicable and would be of benefit to the land to be included in the Zone and to the City after expiration of this Agreement; and WHEREAS, a copy of this Agreement has been furnished, in the manner prescribed by the Code, to the presiding officers of the governing bodies of each of the taxing units in which the Premises is located; and WHEREAS, the City desires to enter into an agreement with MEPC, the proposed owner of property within the Tax Abatement Reinvestment Zone No. 5 for the abatement of taxes pursuant to Chapter 312 of the Tax Code, as amended; NOW, THEREFORE, in consideration of the mutual benefits and promises contained herein and for good and other valuable consideration, the adequacy and receipt of which is hereby acknowledged, including the expansion of primary employment, the attraction of major investment in the Zone, which contributes to the economic development of Coppell and the enhancement of the tax base in the City, the parties agree as follows: GENERAL PROVISIONS 1. MEPC is the owner of that real property described in Exhibit "B" attached hereto and marine a part hereof for all purposes (the "Premises"), which Premises are located within the city limits of the City and within the Zone. 2. The Premises are not in an improvement project financed by tax increment bonds. 3. This Agreement is entered into subject to the rights of the holders of outstanding bonds of the City. 4. The Premises are not owned or leased by any member of the Coppell City Council or any member of the Coppell Planning and Zoning Commi~ion, or any member of the governing body of any taxing units joining in or adopting this Agreement. TAX ABATEMENT AUTHORIZED 5. This Agreement is authorized by the Texas Property Redevelopment and Tax Abatement Act of the Texas Tax Code, Chapter 312, and in accordance with the City Tax Abatement Guidelines and Criteria, and approved by resolution of the City Council of the City authorizing the execution of this Agreement. Tax Abatement Agreement - Page 2 6. Assuming an investment of at least $5.5 million in taxable assets, and subject to the terms and conditions of this Agreement, the City hereby gxants MEPC an abatement of ad valorem taxation on real and/or personal property with respect to the Premises of up to seventy-five percent (75%) for a period of five (5) years. The actual percentage of taxes subject to abatement for each year of this Agreement will be determined from the schedule provided below; and will apply only to the portion of the taxable value of the Premises that exceeds that property's taxable value for the year in which this Agreement is executed (base year/1995). The tax abatement agreement for tangible personal property may only apply to the personal property added to the real property after this Agreement is executed. Assuming an investment of at least $5.5 Percentage of abatement of the excess million in taxable assets, the amount by taxable value which the total assessed taxable value of the real property and/or tangible Warehousing and Distribution - personal property, or both exceeds the Ma~dmum 75% assessed taxable value for the property in the year the agreement is executed (base Fabrication and Assembly - Maximum year). 50% Manufacturing and Processing - Ma.x4mnm 25% *[Taxable value of property for each year of abatement less base year taxable value = excess taxable value subject to abatement % above] 7. The period of tax abatement herein authorized shall be five (5) years, beginning on January 1, 1996 and contimfing until December 31, 2000, unless otherwise amended by the parties pursuant to the Tax Code. 8. During the period of tax abatement herein authorized, MEPC shall be subject to all City taxation not abated, including but not limited to, sales tax and ad valorem taxation on land, invemory and supplies. DEFINITIONS 9. Wherever used in this Agreement, the following terms shall have the meanings ascribed to them: Tax Abatement Agreement - Page 3 Ac-G07558 A. The Premises shall mean the property described on Exhibit "B" attached hereto and incorporated herein for all purposes including any improvements and personal property, excluding inventory, which is added to the property subsequent to the execution of this Agreement; B. The Improvements shall mean the contemplated improvements described herein located on the Premises and as further described in the plans submitted to the City, including but not limited to buildings, structures, tangible personal properly, equipment, and fixtures added to the Premises other than inventory. C. The Total Assessed Tax Value shall mean the total assessed taxable value on January 1 of any tax year of the Premises, any Improvements located on the Premises and the tangible personal property, excluding inventory, located on the Premises. D. The Base Year Tax Value shall mean the total assessed taxable value for the year in which the Tax Abatement Agreement is executed (1995). E. The First Year of the Tax Abatement Agreement shall be 1996, unless otherwise agreed to by the parties. F. Certifi~,.dAppraised Va!,_~_e means the appraised value of the Premlr, es owned by MEPC as certified by the Dallas Central Appraisal District as of January 1 of each year in which the tax abatement is granted. IMPROVEMENTS 10. MEPC owns a 31.96 acre tract of land known as Freepor~ North Addition, Tract of Coppell, Texas, being described in Exhibit "B* and agrees to construct Phase 2 which will consist of a 14.44 acre tract of land as described in Exhibit "B", and at least 280,000 square feet of warehousing and distribution facilities. The cost of the land and Improvements should exceed $6.2 Million Dollars. The approximate location of such Improvements are shown on the Site Plan of the Premiss attached hereto as Exhibit and made a part hereof for all purposes. Nothing in this Agreement shall obligate MEPC to construct Improvements on the Premises, but said Improvements are a condition precedent upon initiation of tax abatement pursuant to this Agreement. 11. Subject to the terms and conditions of this Agreement, MEPC is entitled to an abatement of ad valorem taxation on real property and/or personal property of seventy- five percent (75%) for Phase 2, conditioned upon MEPC, its successors or assigns diligently constructing the aforesaid improvements. Tax Abatement As;r¢cmcnt - Page 4 ~6c,07558 CONSTRUCTION OF IMPROVEMENTS 12. As a condition precedent to the initiation of tax abatement pursuant to this Agreement, MEPC will diligently and faithfully, in good and workmanlike manner, pursue the completion of the contemplated Improvements on or before June 1, 1996, as good and valuable consideration for this Agreement, and that all construction of the Improvements will be in accordance with all applicable state and local laws, codes, and regulations, (or valid waiver thereof); provided, that MEPC shall have such additional time to complete and maintain the Improvements as may be required in the event of "Force Majeure," if MEPC is diligently and faitlffully pursuing completion of the Improvements. For this purpose, "Force Majeure" shall mcan any contingency or cause beyond the reasonable control of MEPC including, without limitation, acts of God or the public enemy, war, riot, dvil commotion, insurrection, adverse weather, government or de facto governmental action (unless caused by acts or omissions of MEPC), fires, explosions or floods, strikes, slowdowns or work stoppages. 13. MEPC agrees to maintain the Improvements during the term of this Agreement in accordance with all applicable state and local laws, codes, and regulations. 14. The City, ils agents and employees shall have the fight of access to the Premises during construction to inspect the Improvements at reasonable times and with reasonable notice to MEPC, and in accordance with MEPC's visitor access and security policies, in order to insure that the construction of the Improvements are in accordance with this Agreement and all applicable state and local laws and regulations (or valid waiver thereof). GENERAL REQUIREMENTS 15. Construction plans for the Improvements constructed on the Premi.~s will be filed with the City. The plans for such Improvements as filed shall be deemed to be incorporated by reference herein and made a part hereof for all purposes. 16. MEPC agrees from the date a certificate of occupancy is issued until the expiration of this Agreement to continuously operate and maintain the Premiss as an office, warehouse and distribution center, or any other activity consistent with local zoning, in compliance with all applicable federal, state and local laws. 17. After completion of the Improvements, MEPC shall certify in writing to the City the construction cost of the Improvements. Such certification shall be signed by all parties to this Agreement and shall then be attached hereto as Exhibit 'D", and such Exhibit shall become a part of thin Agreement for all purposes, MEPC shall annually certify to the City that it is in compliance with each term of the Agreement. Tax Abatement Agreement - Page 5 AGC.-075~I 18. The Premises and the Improvements constructed thereon at all times shall be used in the manner (i) that is consistent with the City's Comprehensive Zoning Ordinance, as amended, and (ii) that, during the period taxes are abated hereunder, is consistent with the general purposes of encouraging development or redevelopment within the Zone. DEFAULT: RECAPTURE OF TAX REVENUE 19. In the event MEPC fails in performance of any of the following conditions: (i) completion of the Improvements in accordance with this Agreement or in accordance with applicable State or local laws, codes or regulations; (ii) have any delinquent ad valorem or State sales taxes owed to the City {provided MEPC retain~ its right to timely and properly protest such taxes or assessment); or (iii) breaches any of the terms and conditions of this Agreement, then MEPC, after the expiration of the notice and cure periods described in Paragraph 20 below, shall be in default of this Agreement. As liquidated damages in the event of such default, MEPC shall; within Sixty (60) days after demand, pay to the City all taxes which otherwise would have been paid to the City without benefit of a tax abatement with interest at the statutory rate for delinquent taxes as determined by Section 33.01 of the Tax Code as amended but without penalty. The parties acknowledge that actual damages in the event of default termination would be speculative and difficult to determine. The parties further agree that any property tax revenue lost, including interest as a result of this Agreement, shall be recoverable against MEPC, its successors and assigns and shall constitute a tax lien on the Premises itself and shall become due, owing and shall be paid to the City within Sixty (60) days. 20. Upon breach by MEPC of any obligations under this Agreement, the City shall notify MEPC in writing. MEPC shall have sixty (60) days from receipt of the notice in which to cure any such defaulL If the default cannot reasonably be cured within a sixty (60) day period, and MEPC has diligently pursued such remedies as shall be reasonably necessary to cure such default, then the parties shall automatically extend the period in which the violation must be cured for an additional sixty (60) days. 21. ff MEPC fails to cure the default within the time provided as specified in Paragraph 20 above or, as such time period may be extended, then the City at its sole option shall have the right to terminate this Agreement by written notice to MEPC. 22. Upon termination of this Agreement pursuant to Paragraph 20 above, all tax revenue abated as a result of this Agreement shall become a debt to the City as liquidated damages, and shall become due and payable not later than sixty (60) days after a notice of termination is made. The City shall have all remedies for the collection of the recaptured tax revenues provided generally in the Tax Code for the collection of delinquent property tax. The City at its sole discretion has the option to provide a pay back schedule. The computation of tax revenue abated for the purposes of the Agreement shall be based upon the full taxable value without tax abatement for the years in which tax abatement hereunder Tax Abatement Agreement - Page 6 A~.a0?5~8 was received by MEPC with respect to the Premises, as determined by the Dallas Central Appraisal District, multiplied by the tax rate of the years in question, as calculated by the City Tax Assessor-Collector. Penalties as provided for delinquent taxes shall accrue after expiration of the sixty (60) day payment period. ANNUAL APPLICATION FOR TAX EXEMPTION 23. It shall be the responsibility of MEPC~ pursuant to the Texas Tax Code, to file aR annual exemption application form with the Chief Appraiser for each appraisal district in which the eligible taxable personal property has situs. A copy of the exemption application shall be submitted to the City for review. SUCCESSORS AND ASSIGNS 24. This Agreement shall be binding on and inure to the benefit of the pm-ties to it and their respective heirs, executors, admlni~trators, legal representatives, successors, and assigns. This Agreement may be assigned with the consent of the City. NOTICE 25. All notices required by this Agreement shall be addressed to the followln~ or other such other party or address as either party deli?ares in writln5 by certified m~il~ postage prepaid or by hand delivery:. If intended for MEPC, to: MEPC Quorum Properties H Inc. 15303 Dallas Parkway, Suite 100, LB 10 Dallas, Texas 75248 If intended for City, to: City of Coppell, Texas City Manager P. O. Box 478 CoppeR, Texas 75019 Tax Abatement Agreement - Page 7 AGGO~5~8 CITY COUNCIL AUTHORIZATION 26. This Agreement was authorized by resolution of the City Council approved by its Council meeting authorizing the Mayor to execute this Agreement on behalf of the City. SEVERABILITY 27. In the event any section, subsection, paragraph, semence, phrase or word herein is held invalid, illegal or unconstitutional, the balance of this Agreement shall stand, shall be enforceable and shall be read as ff the parties intended at all times to delete said invalid section, subsection, paragraph, sentence, phrase or word. APPLICABLE I.~W 28. This Agreement shall be construed under the laws of the State of Texas. Venue for any action under thi.~ Agreement shall be the State District Court of Dallas County, Texas. This Agreement is performable in Dallas County, Texas. 29. This Agreement may be executed in any oumber of counterparts, each of which shall be deemed an or~nal and constitute one and the same instrument. ENTIRE AGREEMENT 30. This Agreement embodies the complete agreement of the parties hereto, superseding all oral or written previous and contemporary agreements between the parties and relating to the matters in this Agreement, and except as otherwise provided herein cannot be modified without written agreement of the parties to be attached to and made a part of this Agreement. 31. The provisions of this Agreement are hereby declared covenants running with the Premir. es and are fully binding on all successors, heirs, and assJ~tms of MEPC who acquire any right, rifle, or interest in or to the property, or any part thereof. Any person who acquires any right, rifle, or interest in or to the property, or any part hereof, thereby agrees and covenants to abide by and fully perform the provisions of this Agreement with respect to the right, fide or interest in such property. Tax Abatement Agreement - Page 8 AGGO/5:~8 RECORDATION OF AGREEMENT 32. A certified copy of this Agreement shall be recorded in the Deed Records of Dallas County, Texas. EXECUTED in duplicate originals this the o2oV~(ay CITY OF COPPEI .lq TEXAS MEPC Quorum Properties II Inc. Title: Vice President APPROVED AS TO FORM: PETER G. SMIT~ CITY ATFORNEY Peter Johnson (PGS/c~ 9-28-95) Title: sr. vice President Tax Abatement Agreement - Page 9 Aaa07538 MAYOR'S ACKNOWLEDGEMENT STATE OF TEXAS § COUNTY OF DA1.1 .AS § BEFORE ME, the undersigned authority, a Notary Public in and for the State of Texas, on this day personally appeared Tom Morton, Mayor of the City of Coppell, Texas, a municipal corporation, known to me to be the person and officer whose name is subscribed to the foregoing instrument and acknowledged to me that the same was the act of the said City of Coppell, Texas, a municipal corporation, that he was duly authorized to perform the same by appropriate resolution of the City Council of the City of Coppell, and that he executed the same as the act of said City for the purpose and consideration therein expressed and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFF~ thi~ the. ,.7_-q ~--"~day of My Commi.~sion Expires: · 7/? 1o t,, Tax Abatement Agreement - Page 10 A~07558 T CORPORATE ACKNOWLEDGEMENT STATE OF TEXAS § COUNTY OF DALLAS § BEFORE ME, the undersigned authority a Notary. Public in and for the State of Texas, on this day personally appeared Howard Garf±elA~eing the V±ce Pres~.dent of MEPC Quorum Properties II Inc., a Delaware corporation, known to me to be the person and officer whose name is subscribed to the foregoing instrument and acknowledged to me that the same was the act of the said MEPC Quorum Properties I1 Inc., a Delaware corporation, and that he executed the same as the act of said corporation for the purpose and consideration therein expressed and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFFICE this the 1.1th day of October , 19 95 Notary Public, State of Texas My Commission Expires: Kathleen K. Schiber 06/20/96 Tax Abatement Agreement - Page 12 AGG06B69 CORPORATE ACKNOWLEDGEMENT STATE OF TEXAS § COUNTY OF DALLAS § BEFORE ME, the undersigned authority a Notary Public in and for the State of Texas, on this day personally appeared P' Johnson , being the Sr. vice President of MEPC Quorum Properties II Inc., a Delaware corporation, known to me to be the person and officer whose name is subscribed to the foregoing instrument and acknowledged to me that the same was the act of the said MEPC Quorum Properties Il Inc., a Delaware corporation, and that he executed the same as the act of said corporation for the purpose and consideration therein expressed and in the capacity therein stated. GIVEN UNDER MY HAND AND SEAL OF OFFICE this the ltth day of October , 19 95 Notary Public, State of Texas My Commission Expires: Kathleen K. Schiber 06/20/96 Tax Abatement Agreement - Page 12 AGG06B69 CITY OF COPPEI.I.~ TEXAS GUIDELINES FOR TAX ABATEMENT ~EI~ERAL PURPO~E.q AND OILIECTIVF. E The ~ of Coppell h ~itted to ~c promotion of hi~ quali~ development in ~1 p~ts of the ~ ~d m an ongoing improvement in ~e qu~[~ of Hfe for ·ese obje~iv~ ~c gener~y se~ed by the e~ment and e~ion of ~e e~no~, the ~ ~!1 on a ~e by ~e b~is ~ve co~iderafion to pro, ding ~centi~ a s~ui~ for e~nomic development in ~ppell. It h the poli~ of the ~ ~t su~ ~o~i~emtion ~1 be prodded in accord~ce with ~e pro~durcs and cdtcda outlined in th~ do~nt. ~at~ h~ .~ ~p~ ~ ~ th~ t~ ~ of ~o~ ~ ~--~ Ac~rd~ tO the Prope~ Redevelopment ~d T~ ~atement A~, ~ified at C~p~r of ~¢ T~ T~ C~e, the ~W may o~y ~t ~ abatement ~ ~ ~ a ~_~ ~y a~cific development pro~ which mee~ ~e ~no~c aeveiopment 8o~ ~d obje~tves of the CiW. ~e t~ abatement ~y only apply to the ez~t~ po~on of ~e proje~ or the t~gible ~r~ pro~ added to the re~ ea~te or ~th. Invento~ and auppHes may not ~ included. T~ abatemen~ ~e ~ted to ~e o~ers of re~ ~d perso~l pro~; for proje~ where the real e~tate h le~ed, s~clal te~s ~d ~ndi~o~ ~y be prodded in ~e a~ment. MINIMUM N~TANDARDN FOR TAX ABATEMENT To be considered eligible for a tax abatement, the proposed project and/or property must meet the following criteria: £LgE ~0£ PI~ 1. An investment of at least $5.5 million in taxable assets. The acquisition cost of the real estate is not included in computing the amount of taxable assets. Construction costs are not necessarily indicative of the taxable value of the property. (The taxable value is determined by the Central Appraisal District as of January 1 of each year.) 2. The project makes a substantial contrlhufion to redevelopment efforts. 3. The project has high visibility, image impact, or is of a significantly higher level of development quallty. 4. The project is an area which might not otherwise be developed because of restraints of topography, ownership patterns, site configuration, or other constraints. $. The project stimulates concentration of employment and/or commercial activity. 6. A project submitted for tax abatement shall be subject to fiscal impact analysis to determine whether or not the services required for the facility will exceed the amount of taxes generated if an abatement was provided No tax abatement will be offered to a project that generates negative costs to the Applicants must provide a written narrative detailing how a project meel~ the above mlnlmum standards. ORIF~lVlg CRITERIA The following criteria is designed to evaluate specific components common to all applicants. 1. How much property tax base will be added? There must be at least million in tax base added to the property to be eligible for tax abatement. 2. How much local annual payroll will be created? 3, How many new jobs will be created? 4. An investment of at least $$.$ million in taxable assets. Ed. 8/17/9~ ta:O~FAF S00 q3Bd~O3 ~0 liI3 9I:P; S6×9~/0I £L9£ P0£ P~ SUB.IF_~IVF~ CRITERIA The applicant must respond in written narrative format to the following: 1. Is the project sponsor a local company? 2. What types and values of public improvements, if any, will be made by the applicant? 3. Will the applicant be the owner or lessee? ff lessee, are occupancy commitments already existing? 4. Does or can the project meet all relevant zoning, subdivision and other legal, requirements? : $. What impact will the project have on other taxing units? (Coppeil Independent School District) 6. Are the new jobs to be created likely to be filled by Coppell's local labor force? 7. Will the project increase the business opportunities of existing local businesses? 8. Is the project consistent with the comprehensive plan of the City9 9. Is the level of quality significantly higher than the typical projects of a similar use? Are site amenities provided such as landscaping, public afl, water fountain*, plso. as, etc.? 10. Does the project pose any negative environmental, operational, visual or other impacts (i.e. pollution, noise, traffic congestion, etc.)? AMOUNT O!? TAX ARATI~MENT The above criteria will be used to determine whether it is in the best interest of the City to provide tax abatement to a particular applicant. The categories item{zed below have been identli~ed as desirable for the community. Once a determination has been made lhat a tax abatement is in the best interest of the City, the value and term of the abatement will' be determined from the followil~g: · r~ Abatement Ouldclh~e~'- Page !~1. 8/17/95 £69£ Assuming an investment of at least $5.5 Percentage of abatement of the excess million in t~able assots, the amount by taxable valRe which the total assessed taxable value of the real property and/or tangible Warehousing and Distrlbutlor~ - personal property, or laoth exceeds the Maximum ?5% assessed taxable value for the property in the year the agreement is executed (base Fabrication and A~sembly - Maximum year). 50% Manufacturing and Processing - Maximum 25% pROCKI}URAL GUIHELINES Any pe~o~ orga~on or co~oration desi~ 'that the ~W co~[der pro~ t~ abammem to en~urag~ l~tian ~r ~p~ded operation ~thin the ciw sh~l ~mply ~th the~ pr~edural ~idel~. ~m~ ~ th~ ~,i~ ~! ~ ~ to .~ t~ Applicant should subn~it an application for tax abatement to the City Manager addressing the above criteria includin~ a legal description of the property and a plat zhowlng the precise location of the property, all roadways within five hundred feet of the site, and all existing zoning and lull uses within five hundred feet of the site. .aPPLICATION REVIEW' PROCEg~q The application will b~ reviewed by the Tax Abatement Committee consisting of the City Manager, three representatives from the Economic Development Partnership, the Chairman of the Finance Committee and the City's Tax Assessor. The Committce will serve az an advisory body to the City Council in determining whether a tax abatement should be offered. The Committee's recommendation shall be based upon a subjective evaluation of the 8/17/9.5 AQOO6~A~ ~00 q~d03 ~0 Ail3 ~I:~I S6/9~/0I completed application. The committee may invite representatives from the Coppell Independent School District, Dallas County, Tarrant County or Denton County, to participate in the review. All [n~ormation submitted will be reviewed for completeness, accuracy, and according to the guidelines and criteria. Additional information may be requested ns needed. The application may be di~trlbuted to appropriate City departments for internal review and comments. Copies of the complete application package and staff comments, if any, will be provided to other taxing entities (Coppell Independent School District, Dallas, Tarrant or Denton County). The staff will make recommendations on the applieatlon to the Tax Abatement Committee. If needed, the Tax Abatement Committee will meet with the applicant. The reeommendntion of the Tax Abatement Committee will be forwarded to the chief adm;"lstratlve officer oF other applicable taxing units. Based on the recommendation of the Committee the City Conncll may consider a resolution calling a public hearing to consider, the establishment of a tax relnvestment zone. (Before the City may enter into a tax .abatement agreement, the property involved must be designated as a reinvestment zone.) City Council then holds a public hearing to determine whether or not the property involved should be designated as a reinvestment zone; and whether the project is feasible and practical and would be a benefit for to the City after expiration of the agreement. (At the public hearing, the City staff and/or the applicant may make a presentation following which interested persons may speak for or against the designation.) A~er the public hearing the City council will consider adoption of the resolution designating the area described in the legal description of the proposed project as a tax abatement reinvestment ~,one. The resolution will further authorize the City Manager to negotiate an agreement with the applicant governing the provision of the tax abatement. ADOPTION OF AGRI~EMENT Any tax abatement agreement must inch, de the followlng: 1. C3eneral description of the project Ed. 8/17/9~ AC~0~fA~ 2. Amount of t~x abatement. 3. Method for calculating the v~lue of the abatement. 4. Te~ of the abatement. 5. ~gal d~c~ptlon of the proart. 6. ~e, number, location and timetable of planned improvement. 7. ~y s~cific ter~ or condltio~ to be met by appHc~t. ~e a~eement ~ll ~ presented to the Ci~ Council for adoption whereupon it ~11 be exerted by the Ci~ M~ager ~d by the specified official of any other participatMg t~ng Almtcmcnt 8/17/95 600 933dd03 ~0 I£I3 PROPERTY DESCRIPTION EE]N~ o ~oct or Dorcelo? ~d sltuc*ed In the ~lIIllam 1~ Poy~ Survey. Abctroc~ NO. ~40, BEGI~NG o~ o fence o~n~ f~nd ~or on Interior o~corner of sol~ 'Freepo~ No[ i7~', some ~1~ of r~d lh Vot~e ~24~ Page 4209, ~Ilos County ~ Recor~ ~nstr~ent of r~ord In ~o~me ~207l, Pogs IO~. Dallas Catty De~d lH~ O~ng ~e common II~ o~ sald IO0.O00 ocF~ ~roc~ and Bold ~ree~ ~h'. ~u~h O0 Oe~ees II minutes 3~ seconOs [~t. ll!~O0 feet fo o [/~ Iron rod se~ +~ mrnerl TH~CE Sou~ 44 Oe~ees 48 mJn~es 2T ~conda Wes% 45.00 to o I/~ Iron r~ se~ ~ cat.ri Jn ~he Easterly line of Royat L~e, I~ f~t TH~CE along eolq loathly II~ the ~ol~w~g ~lve (5)co~sem I) 239.l~ feet alanO t~e ~o of o no~-T~gent c~ve To The left hovl~ o radius Of IO50.O0 feet, o c~alon~e of I~ oegrees 02 ml~es 56 ~co~s ~O o chord b~l~ distance of Nor~ GZ de~s J5 ml~ee 08 ~c~oa west. 2~8.~Z fee, To ~ I/~ Iron North G8 de~eea 4G ml~es 3G ~s West, I5~O0 f~t to O 172' lr~ rod for The ~lnnl~ of o ~rve; 114~ ~ee* o~ The ora of o toff Curve *o ~he rl~? hovl~ ~ rodlus of ~50.00 f~t, o cen~o~e of 6g degrees l0 minces 02 secon~a ~d ~ ~d dlsTonce of N~ 34 Oeor~s Iiml~Te8 35 ~s We8~. 107B.4~ feet To North O0 de~ees 2~ mlnu~es 2~ se~nds Eos~, 74.15 ~ee* ~o o I/2' Iron rod found for North 45 Oe~ees 23 mlnu*es 26 ~conds Eos~. 2L=I feel fo ~ I/2' Iron rod found for le~ ~vlng o roOtus of 15~0.00 fee~. o cenTroio~le of 10 Oegrees ~0 mi~Tes O4 ~onoa be~lnQ and dls*~e of North 85 ~ees 08 minutes 24 ~e~s los% 2B0.OZ feel To a I/2' Iron rod 464.55 fee~ ~o the POINT 0F BEGINNING. cna con~olnlng 31.9602 Acres fl,3~2.185 squ~e fee~) SAVE ~D EXCEPT ~E FOLLOWING: the O.T. Tm~eott Survey, ~bs/roc? NO. 175~ and fha S.~ & ~,G.R.~ Survey, Abstract No. 1419. o porflon of thof certain ]J.9~02 acre troc~ conveyed ~o M[PC OUORUM PROPERTIES il. IN~. Dy lnslrumenf of r~ord In VgJu~8 ~O~B, Page 96B, DOIIOs County Deed Records. sold 1rog( BEGINNING o~ I/2'lron rod found for the Northeasterly corner of said ~[.960~ ogre ?rocf (rom conveyed To Co~p~llnd~trlolN. V. by Instr~ent of record In V~ume 82071. Page 106l. THENCE along the common line ~ald I00.00 acre ?root and eald 31.¢ - acre tract, South CIO THENCE aeporttng SOld common Itr~, South 89 oegree~ 48 mJnute~ 2~ ~econd~ ~es~, 450.00 T~NCE South 44 degrees 48 mlnufoa ~ 8e~nd5 ~e~t, 45.~ feet to o I/2' Iron rod set for THENCE South ~ oegrees I~ ~inutes ZO seoonos West, ~3.17 feet to a J/2' Iron rod set for c~r~ tn ~ Easterly ?lgh~-of-~oy li~e of RoyotL~e. tO0 feet (Ii 2SC.II feet otong t~ ~c of a ~-/~gent ~rve fo the left hovI~ a rodlus of 1050.00 feet, a oemrolm~e of I] donees O2 mlnutee ~ ~eoo~ ~ O ~ord bearing and [2) N~,h ~B donees 4~ minutes ]~ s~nds ~esf. 150.00 f~t to o I/Z' 1ran rod fou~ for the beginning of O ourveI (3) 275.2~ fee, ~ong ,he oro Of 0 t~oen* c~ve to ~e rlgh, hovlng o rodl~ of 950.00 a ~n~r~ongle o~ I~ ~e~ees 3~ mi,,es Il e~onds o~ 0 ohord ~lhg North ~00e~ees 2B mlnu,es ~0 seo~s ~est, 214.~3 ~est *o o I/Z' Ir~ ro~ ~? for THENCE North O0 degrees lB mln~es OI seoo~s ~est, B6~.55 feet to o I/2' Iron r~ sst for c~ner In the South~l~ line o~ sold 214.09 acre Esteve d~ees 41 ml~ 59 seooflds E~f, 6~.00 feet ,o ~ ~1~ ~ 17.5~ o~e~ 7G~,1~4 s~e feet, more or le~ of I~d ~ wl~ln, the