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Ordinance No. an Ordinance Approving the Project Plan

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Ordinance No. an Ordinance Approving the Project Plan ____________ [Qi : ORDINANCE NO. 2784 AN ORDINANCE APPROVING THE PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN FOR TAX INCREMENT FINANCING REINVESTMENT ZONE NUMBER SEVENTEEN, (TOD TIF DISTRICT); MAKING A FINDING REGARDING FEASIBILITY; AUTHORIZING THE CITY MANAGER TO EXECUTE A PARTICIPATION AGREEMENT WITH DALLAS COUNTY FOR THE TOD TIF DISTRICT; PROVIDING A SEVERABILITY CLAUSE; AND PROVIDING FOR AN EFFECTIVE DATE WHEREAS, on December 10, 2008, the City Council authorized the adoption of Ordinance No. 27432 which created Tax Increment Financing Reinvestment Zone Number Seventeen, (the “TOD TIE District”) in accordance with V.T.C.A. Tax Code, Chapter 311 (“Act”); and WHEREAS, the TOD TIE District was created to encourage transit-oriented development (TOD) around DART stations in the central portion of the City and help create a series of unique destinations, as well as foster the construction of structures or facilities that will be useful or beneficial to the development of transit stations along the DART light rail system in the central portion of the City; and WHEREAS, the TOD TIE Board of Directors recommended a TIE District boundary amendment on January 20, 2010, consistent with the requirements and limitations of the Act; and WHEREAS, on March 11, 2010, the Board of Directors of the TOD TIE District (the “Board”) reviewed and adopted a Project Plan and Reinvestment Zone Einancing Plan for the District; and WHEREAS, on March 10, 2010, City Council authorized a public hearing to be held on April 14, 2010 to receive comments on an amendment to the TOD TIE boundary; and WHEREAS, on April 14, 2010, City Council held a public hearing to receive comments on an amendment to the TOD TIE boundary and at the close of the hearing approved an ordinance amending Ordinance No. 27432 to remove certain properties from the Mockingbird/Lovers Lane Sub-District, reassign properties located in the existing boundary at the 8th and Corinth DART station area from the Cedars West Sub-District to the Lancaster Corridor Sub-District for resource allocation purposes, and increase the geographic area of the TIE District by adding property to the Mockingbird/Lovers Lane, Cedars West, and Lancaster Corridor Sub-Districts, and creating a new Cedar Crest Sub-District; and WHEREAS, the Project Plan and Reinvestment Zone Financing Plan are consistent with the preliminary Project Plan and Reinvestment Zone Einancing Plan developed for the District, prior to the District’s creation with minor modifications; and r ,\ - 27854 I ‘jib WHEREAS, in compliance with the Act, the Board has submitted the Project Plan and Reinvestment Zone Financing Plan for the TOD TIE District, attached hereto as Exhibit “A” to the City Council for its approval; and WHEREAS, the Board has respectfully adopted the Project Plan and Reinvestment Zone Financing Plan and recommended approval by the City Council in order to promote development or redevelopment of the District. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF DALLAS SECTION 1. That in accordance with the Act, the City Council has reviewed the Project Plan and Reinvestment Zone Financing Plan for the District and hereby finds the Project Plan and Reinvestment Zone Financing Plan attached hereto as Exhibit “A” to be feasible and consistent with the preliminary plans developed for the District. SECTION 2. That the facts and recitations contained in the preamble of this ordinance are hereby found and declared to be true and correct. SECTION 3. That the Project Plan and Reinvestment Zone Financing Plan for the District is hereby found to include all information required under the Act. SECTION 4. That in accordance with the Act, the Project Plan and Reinvestment Zone Financing Plan for the District is hereby approved. SECTION 5. That the City Manager is hereby directed to notify the governing body of each taxing unit that taxes real property located in the District of the City’s approval of the Project Plan and Reinvestment Zone Financing Plan, to transmit to each governing body copies of the Project Plan and Reinvestment Zone Financing Plan, and to request that each governing body notify the City of Dallas in writing with respect to its participation in the District. SECTION 6. That the proposed duration of the TOD TIE District is 30 years. The City’s participation is as follows: 70% in 2009 through 2011 85% in 2012 through 2029 70% in 2030 and thereafter TIF collections will terminate once the TIE budget of $185,177,697 NPV in 2009 dollars (approximately $369,817,275 in total dollars) has been collected or December 31, 2038, whichever occurs first. 27854 100915 SECTION 7. That the City Manager, upon approval as to form by the City Attorney is hereby authorized to enter into a participation agreement with Dallas County for participation in the TOD TIE District. SECTION 8. That if any section, paragraph, clause or provision of this ordinance shall be for any reason held to be invalid and unenforceable, the invalidity or unenforceability of such section, paragraph, clause or provision shall not affect any of the remaining provisions of this ordinance. SECTION 9. That this ordinance shall take effect immediately from and after its passage and publication in accordance with the provisions of the Charter of the City of Dallas, and it is accordingly so ordained. APPROVED AS TO EORM: THOMAS P. PERKINS, JR. CITY ATTORNEY BY - Assistant City Attorney J 4 i’ I 27854 100915 ExhibitAj TOD Tax Increment Financing District Project Plan & Reinvestment Zone Financing Plan April 14, 2010 2785k Acknowledgements The TOD TIF District Project Plan and Reinvestment Zone Financing Plan was prepared by the City of Dallas, Office of Economic Development in an effort to promote higher density development at several strategically important DART Light Rail Stations. The Office of Economic Development wishes to acknowledge the efforts of everyone who contributed to the development of this plan, including the following organizations and individuals: City of Dallas Mary Suhm City Manager Ryan Evans First Assistant City Manager AC. Gonzalez Assistant City Manager Karl Zavitkovsky Director, Office of Economic Development Hammond Perot Assistant Director, Office of Economic Development Karl Stundins Area Redevelopment Manager, Office of Economic Development Sue Hounsel Senior Coordinator, Office of Economic Development Tamara L. Leak Economic Development Analyst, Office of Economic Development Pam Veshia Economic Development Analyst, Office of Economic Development Warren Ernst Assistant City Attorney, City Attorney’s Office Sarah Hasib Assistant City Attorney, City Attorney’s Office Dallas City Council Mayor Tom Leppert Delia Jasso Mayor Pro Tem Dwaine Caraway Sheffie Kadane Deputy Mayor Pro Tern Pauline Medrano Linda Koop Jerry Allen Ann Margolin Tennell Atkins Ron Natinsky Carolyn Davis Dave Neumann Vonciel Jones Hill Steve Salazar Angela Hunt TOD TIF Board of Directors City of Dallas James Frye Jud Pankey Zad Roumaya Jack Wierzenski Dallas County Rick Loessberg Dallas County Community College Dist. Dr. Andrew Jones Dallas Independent School District Hector Flores Other Prescott Realty Group The Urban League Stanland & Associates Catalyst Urban Development TexasMapData The Mark Cuban Companies Matthews Southwest Merriman Associates/Architects, Inc. Dallas Area Rapid Transit (DART) Hamilton Properties Sphinx Development Corporation Page 2 Exhibit A: Project Plan & Reinvestment Zone Financing Plan TOD TIF District r. n n I ‘ I — Table of Contents Section 1 - Project Plan 4 Background 4 Exhibit A1-7 TOD TIE District Maps 9 Development Goals and Objectives 16 Description of TOD TIE District 21 Existing Uses 23 Existing Zoning 24 Exhibit B1-9: Existing Conditions 25 Market Eeasibility 34 TIE District Policy Considerations 34 Section 2: Project Plan Improvements 36 Public Improvements 36 Planned Private Development 42 Exhibit C1-7: Anticipated Development Projects 44 Exhibit D1-4: Conceptual Renderings of Anticipated Development Projects 52 Section 3: Financing Plan 56 Einancing Plan 57 Exhibit E: Estimated Increment Generation & Allocation by Sub-District 58 Exhibit E: TOD TIE District Project Plan Improvements 59 Exhibit G: Annual Real Property Appraisals and City/County Tax to the TOD TIF Fund 62 Financial Assumptions 63 Einancial Eeasibility 64 Elnancial Policies 64 Conclusions 65 Appendix A: 2008 & 2010 (estimated) DCAD Real Property Accounts in the TOD TIF District 66 Appendix B1-6: Existing Land Use Maps by Station Area 86 Appendix C1-6: Existing Zoning Maps by Station Area 92 Exhibt A: Project Plan & Reinvestment Zone Financing Plan Page 3 TOD TIF District 27854 100915 Section 1 - Project Plan Background The TOD Tax Increment Financing (TIE) District (referred to as the “District” or the “TOD TIE District”) represents an effort of the City of Dallas to provide a model for encouraging the development of dense, pedestrian-friendly transit oriented developments (TOD5) adjacent to several stations located in the central part of Dallas. These prospective redevelopment areas contain significant amounts of undeveloped/underdeveloped land parcels that would not be developed without public assistance. The TOD TIF District (the “District”) was established in December 2008 to help create a series of unique destinations, as well as foster the construction or structures or facilities that will be useful or beneficial to the development of transit stations along the DART light rail system in the central portion of the City. Chapter 311 of the Tax Code was amended in 2007 to provide for the creation of a reinvestment zone of this nature. Chapter 311 permits the designation of an area as a reinvestment zone when the use of the land within the zone is in connection with and beneficial to the operation of a mass transit rail system. Redevelopment of the Lancaster Corridor and encouragement of transit-oriented mixed- use development (TOD5) around DART stations are top City priorities. Linkage of areas proximate to the Lovers Lane/Mockingbird, Cedars West and the Lancaster Corridor transit stations via the DART Rail Lines facilitates higher density urban development in all areas and permits tax increment sharing to occur.
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