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HomeMy WebLinkAboutResolution 2019-034 RESOLUTION NO. 2019-034 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NORTH RICHLAND HILLS, TEXAS, AUTHORIZING PARTICIPATION IN THE TEXAS ENTERPRIZE ZONE PROGRAM AND NOMINATING LIBERTY TAX, INC. CORPORATE HEADQUATERS RELOCATION FOR DESIGNATION AS AN ENTERPRISE PROJECT UNDER THE TEXAS ENTERPRISE ACT, CHAPTER 2303, TEXAS GOVERNMENT CODE. WHEREAS, The City of North Richland Hills ("City") has previously passed Ordinance No. 3010 dated August 26, 2008, a copy of which is attached to this resolution as Exhibit "A," electing to participate in the Texas Enterprise Zone Program and held the required public hearing; and WHEREAS, pursuant to Chapter 2303, Subchapter F of the Texas Enterprise Zone Act, Texas Government Code (the "Act"), Liberty Tax, Inc. has applied to the City for designation of its corporate headquarters relocation as an Enterprise Project ("Project"); and WHEREAS, the Office of the Governor Economic Development and Tourism ("EDC") through the Economic Development Bank("Bank")will consider Liberty Tax, Inc., corporate headquarters relocation as an Enterprise Project pursuant to a nomination and an application made by the City; and WHEREAS, this Project is not located in an area designated as an enterprise zone; and WHEREAS, the City desires to pursue the creation of the proper economic and social environment in order to induce the investment of private resources in productive business enterprises located in the City and to provide employment to residents of enterprise zones and to other economically disadvantaged individuals; and WHEREAS, the City finds that it is in the best interest of the City to nominate Liberty Tax, Inc., corporate headquarters relocation as an Enterprise Project pursuant to the Act; NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF NORTH RICHLAND HILLS, TEXAS, THAT: SECTION 1. The City Council hereby finds that the recitals set forth above are true and correct and are incorporated into this Resolution as if written herein. SECTION 2. The City finds that Liberty Tax, Inc., meets the criteria for designation of its corporate headquarters relocation as an Enterprise Project under Chapter 2303, Subchapter F of the Act on the following grounds: Resolution No. 2019-034 Page 1 of 3 (a) Liberty Tax, Inc., is a "qualified business" under Section 2303.402 of the Act since it will be engaged in the active conduct of a trade or business at a qualified business site within the governing body's jurisdiction located outside of an enterprise zone and at least thirty-five percent (35.0%) of the business' new employees will be residents of an enterprise zone, economically disadvantaged individuals, or veterans. (b) There has been and will continue to be a high level of cooperation between public, private, and neighborhood entities within the area. (c) The designation of Liberty Tax, Inc., corporate headquarters relocation as an Enterprise Project will contribute significantly to the achievement of the plans of the City for development and revitalization of the area. SECTION 3. The City finds that Liberty Tax, Inc., meets the criteria for tax relief and other incentives adopted by the City and nominates Liberty Tax, Inc., corporate headquarters relocation for Enterprise Project status (or half enterprise project status, or double jumbo enterprise project status, or triple jumbo enterprise project status as the Project is so designated) on the grounds that it will be located at the qualified business site, will create a higher level of employment, and economic activity and stability. SECTION 4. The City Council finds that the local economic incentives offered under this resolution are the same on this date as were outlined in Ordinance No. 3010. SECTION 5. The findings of the City Council and its actions approving this Resolution taken at the council meeting are hereby approved and adopted. SECTION 6. The designation period for this Enterprise Project shall take effect on the date of designation of the Enterprise Project by the EDC or other governing agency, and terminate on December 31, 2024, or five years from the date the designation is made, whichever occurs earlier. SECTION 7. This Resolution shall take effect and be in full force and effect from and after the date of its adoption, and it is so resolved; and all Resolutions of the City Council of the City in conflict herewith are hereby amended or repealed to the extent of such conflict. PASSED AND APPROVED on this 12th day of August, 2019. CITY • O RICHLAND HILLS By: /f'� Oscar Trevino, Mayor Resolution No. 2019-034 Page 2 of 3 ATTEST: ,\,\`\;`N 5.19,. 4i°// 1 /4/ in ._ :ram a Alicia Richardson, Citj cretark ..•. o oimminminto APPROVED AS TO FORM AND LEGALITY: r - Maleshia B. McGinnis, City Attorney APPRO A ONTENT: Craig Huls , Economic Development Director 4 Resolution No. 2019-034 Page 3 of 3 Resolution 2019-034 Exhibit"A" ORDINANCE NO. 3010 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF NORTH RICHLAND HILLS, TEXAS, AUTHORIZING THE CITY OF NORTH RICHLAND HILLS TO PARTICIPATE IN THE TEXAS ENTERPRISE ZONE PROGRAM PURSUANT TO THE TEXAS ENTERPRISE ZONE ACT, CHAPTER 2303, TEXAS GOVERNMENT CODE ("ACT"), PROVIDING POSSIBLE TAX INCENTIVES, DESIGNATING A LIAISON FOR COMMUNICATION WITH THE INTERESTED PARTIES, AND NOMINATING TYSON PREPARED FOODS, INC. TO THE OFFICE OF THE GOVERNOR, ECONOMIC DEVELOPMENT AND TOURISM ("OOGEDT") THROUGH THE ECONOMIC DEVELOPMENT BANK ("BANK") AS AN ENTERPRISE PROJECT ("PROJECT"). WHEREAS, the City Council of the City of North Richland Hills, Texas (the "City") desires to create the proper economic and social environment to induce the investment of private resources in productive business enterprises located in the City and to provide employment to residents of the City; and WHEREAS, the Project is not located in an area designated as an enterprise zone; and WHEREAS, pursuant to Chapter 2303, Subchapter F of the Act, Tyson Prepared Foods, Inc. has applied to the City for designation as an Enterprise Project; and WHEREAS, the City finds that Tyson Prepared Foods, Inc. could meet the criteria for tax relief and other incentives adopted by the City on the grounds that it is located at a qualified business site, will create a higher level of employment, economic activity and stability; and WHEREAS, a public hearing to consider this ordinance was held by the City Council of the City of North Richland Hills, Texas on August 26, 2008. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF NORTH RICHLAND HILLS, TEXAS: SECTION 1. The City nominates Tyson Prepared Foods, Inc. for Enterprise Project status. SECTION 2. The local incentives identified and summarized briefly in the attached Exhibit A, at the election of the governing body, are or could be made available to the nominated Project or activity of a qualified business. SECTION 3. The City of North Richland Hills City Council directs and designates the Director of Economic Development or his designee as the City's liaison to communicate with the OOGEDT through the Bank and Enterprise Ordinance No.3010 Page 1 of 4 Resolution 2019-034 Exhibit A Page 1 of 4 Resolution 2019-034 Exhibit"A" Project(s) and to communicate with qualified businesses and other entities affected by an Enterprise Project. SECTION 4. The City finds that Tyson Prepared Foods, Inc. meets the following criteria for designation as an Enterprise Project under Chapter 2303, Subchapter F of the Act on the following grounds: (a.) Tyson Prepared Foods, Inc. is a "qualified business" under Section 2303.402 of the Act since it will be engaged in the active conduct of a trade or business at a qualified business site within the governing body's jurisdiction, located outside of an enterprise zone and has committed that at least thirty-five percent (35%) of the business' new employees will be residents of an enterprise zone or economically disadvantaged individuals; and (b.) There has been and will continue to be a high level of cooperation between public, private, and neighborhood entities in the area; and (c.) The designation of Tyson Prepared Foods, Inc. as an Enterprise Project will contribute significantly to the achievement of the plans of the City for development and revitalization of the area. SECTION 5. The Enterprise Project shall take effect on September 2, 2008 and terminate on September 2, 2013. PASSED AND APPROVED on this the 26th of day August, 2 8. ovAo '411110,llcAk 9 , Q-, CITY F ORTH RI H o By: hh y scar Trevino, Mayor TTES7`.' / ' " Patricia Hutson, City Secretary A-P' ;'�V r • ! - A D LEGALITY: dr 4ZZAL/ George A. Staples, City Attorney APP E S TO CONTENT: Cram e, Economic Development Director Ordinance No.3010 Page 2 of 4 Resolution 2019-034 Exhibit A Page 2 of 4 Resolution 2019-034 Exhibit"A" Exhibit A Name of Incentive Description of Incentive Availability Local Sales and Use The City may allow sales and use On Case By Case 1 Tax Refunds tax refunds. Basis On Case By Case 2 Tax Abatement Property tax abatement. Basis Property tax exemption for Freeport 3 Freeport Exemption property. Citywide Sales Tax for Crime Control and Prevention District, Parks and Recreation Development District and On Case By Case 4 4B Sales Tax Economic Development Basis The City may make zoning changes Zoning to expedite the development On Case By Case 5 ChangesNariances process. Basis The City may provide certain Building Code building code process exemptions to On Case By Case 6 Process Exemptions expedite the development process. Basis Impact/ Inspection The City may exempt impact/ On Case By Case 7 Fee Exemptions inspection fees. Basis The City may streamline permitting Streamlined procedures to promote economic 8 Permitting activity. Citywide Improved Fire and Safety and protection of City 9 Police Protection residents. Citywide Crime Control and Prevention District, Neighborhood Watch Community Crime Programs, CrimeReports.com, and 10 Prevention Programs Crimeweb.net Citywide Capital Improvements In The City may provide resources for Water and Sewer a capital improvement plan related On Case By Case 11 Facilities to water and sewer service. Basis The City is responsible for maintaining and repairing public 12 Road Repair streets and alleys inside City limits. Citywide Parks and Recreation Development Creation or District, to develop and maintain Improvement of parks and promote healthy lifestyle 13 Parks for City residents. Citywide Provision of Publicly Owned Land for Development The City may provide publicly owned On Case By Case 14 Purposes land for development purposes. Basis Ordinance No.3010 Page 3 of 4 Resolution 2019-034 Exhibit A Page 3 of 4 Resolution 2019-034 Exhibit"A" Exhibit A (continued) Name of Incentive Description of Incentive Availability One-Stop Permitting, Problem Resolution The City may offer one-stop 15 Center permitting. Citywide Promotion and Northeast Tarrant Chamber of 16 Marketing Service Commerce. Citywide Job Training and Employment Offered through ATI-Career Training 17 Services Center, and Tarrant County College. Citywide Offered through ATI-Career Training 18 Retraining Program Center, and Tarrant County College. Citywide Literacy and Employment Skills Offered through ATI-Career Training 19 Services Center, and Tarrant County College. Citywide Offered through ATI-Career Training 20 Vocational Education Center, and Tarrant County College. Citywide Customized Job Offered through ATI-Career Training 21 Training Center, and Tarrant County College. Citywide Infrastructure The City may provide infrastructure On Case By Case 22 Improvements improvements for industries. Basis Ordinance No.3010 Page 4 of 4 Resolution 2019-034 Exhibit A Page 4 of 4 NRH NORTH RICHLAND HILLS CITY COUNCIL MEMORANDUM FROM: The Office of the City Manager DATE: August 12, 2019 SUBJECT: Consider Resolution No. 2019-034 to participate in the Texas Enterprise Zone Program and nominate Liberty Tax, Inc., corporate headquarters relocation for designation as an Enterprise Project. PRESENTER: Craig Hulse, Economic Development Director SUMMARY: The Class A office property located at 9151 Boulevard 26 is a finalist for the corporate relocation of Liberty Tax, Inc. (Liberty Tax), a Virginia Beach, Virginia company representing 250 new jobs to North Richland Hills and to Texas. As part of regional recruitment effort, Liberty Tax is seeking an Enterprise Project Designation with the State of Texas through the Office of the Governor Economic Development and Tourism. The nomination allows Liberty Tax to receive state incentives based upon levels of employment and capital investment. In order to become eligible, North Richland Hills is required to nominate Liberty Tax for Enterprise Project Designation. GENERAL DESCRIPTION: Led by a partnership between the City of North Richland Hills and the Fort Worth Chamber of Commerce, Liberty Tax, Inc., ("Liberty Tax") out of Virginia Beach, Virginia, identified 9151 Boulevard 26, 76180 as a finalist site for relocation of its corporate headquarters. The company is a strong candidate for the Texas Enterprise Zone Program for possible state incentives; however, in order to become eligible they are required to be nominated by the city for an Enterprise Project Designation. The Texas Enterprise Zone Program is an economic development tool for local communities to partner with the State of Texas to promote job creation and capital investment. In the case of Liberty Tax, the Enterprise Zone Program will help offset a portion of $5 million in planned capital investment at the 9151 Boulevard 26, 76180 location. If nominated by the city and approved by the state, Liberty Tax intends to bring over 250 full time jobs to this location, with an average annual wage of$72,733, roughly 30% more than the county average ($55,627). Resolution No. 2019-034 references Ordinance No. 3010 that was approved on August 26, 2008. While this ordinance originally nominated Tyson Prepared Foods, it also served as authorization for the city to participate in the Texas Enterprise Zone program pursuant NRH NORTH RICHLAND HILLS to the Texas Enterprise Zone Act, Chapter 2303 of the Texas Government Code. The city is eligible to nominate up to six (6) projects for designation each biennium. If approved, the Enterprise Project Designation is anticipated to take effect in December of 2019, and will terminate five years from the date of designation in December of 2024. RECOMMENDATION: Approve Resolution No. 2019-034