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Ord 12-2009 2/17/2009 ORDINANCE NO. `a"�►�.�,�'i ORDINANCE OF THE CITY COUNCIL OF THE CITY OF WICHITA FALLS, TEXAS, AMENDING THE PROJECT AND FINANCIAL PLAN FOR TAX INCREMENT FINANCING DISTRICT REINVESTMENT ZONE #2; FINDING AND DETERMINING THAT THE MEETING AT WHICH THIS ORDINANCE WAS PASSED WAS OPEN TO THE PUBLIC AS REQUIRED BY LAW. WHEREAS, the City Council wishes to promote the development or redevelopment of a certain contiguous geographic area within its jurisdiction by recognizing an amendment to the Tax Increment Financing District, Reinvestment Zone #2, as created by City Council and endorsed by the Wichita County Commissioners in Ordinance No. 61-2005 and codified in Chapter 311 of the TExAS Tax Co�E, known as the Tax Increment Financing Act ("the ACT"); and, WHEREAS, the Reinvestment Zone #2 Tax Increment Financing Committee has recommended action to amend the Project and Financial Plan; and, WHEREAS, a public hearing was conducted on the 17 day of February, 2009, before the City of Wichita Falls City Council, such date being at least seven (7) days after the date of publication of the notice of such public hearing in a newspaper of general circulation in the City of Wichita Falls; and, WHEREAS, at such hearing, the City invited any interested persons to appear and contend for or against the proposed amendment to the existing Reinvestment Zone, as described attached hereto as Exhibit "A"; and, WHEREAS, after considering all testimony and evidence offered at the public hearing, the City Council finds that improvements in the Reinvestment Zone will significantly enhance the value of all taxable real property in the Zone, will be of general benefit to the City of Wichita Falls, and that it will be in the public interest to pass this ordinance creating a Reinvestment Zone. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF WICHITA FALLS, TEXAS, THAT: SECTION 1. The facts and recitations contained in the preamble of this ordinance are hereby found and declared to be true and correct. SECTION 2. The City hereby amends the Tax Increment Financing District, Reinvestment Zone #2, to incorporate the description in Exhibit "A," attached hereto, as a component of the adopted Project and Financial Plan. SECTION 3. It is hereby officially found and determined that the meeting at which this ordinance was passed was open to the public as required by law. PASSED AND APPROVED this the 17 day of February, 2009. ATTEST: i ity Clerk MAY R EXHIBIT A TIF #2 - Development Status December 2008 Figures outlined represent the status of the TIF #2 infrastructure improvements primarily involving Maplewood, Lawrence, drainage improvements, and future projects. Construction costs were significantly higher than initially projected. At the same time, increment revenues have generated faster and higher than projected. This Status Report is intended to assist with future decisions regarding additional construction projects. Increment Revenue 2007 2008 2009 Construction Costs Financial Plan Proiection Actual $34,000 $ 98,358 $49,000 $ 165,147 $133,000 Projected at $200,000 Financial Plan Proiection Actual' Lawrence Rd. Improvements Maplewood Lawrence to Wenonah Wenonah to Kemp Utility Changes $63, 990 $252,000 $749, 000 $45, 000 $ 499,855 (Phase I) Quail Creek Improvements $1,236,000 $ 5,787,682 (Phase II) Total $2,345,990 $ 6,287,537' ' Widening of Lawrence to the north and south of Quail Creek Shopping Center was added to this projecf, creating a significant increase in acquisition and construction cost. The contract did also include a bridge to serve property to the south of Maplewood and the City has been paid back $89, 781 for that bridge construction. Right-of-way for Maplewood and Lawrence adjacent to the Quail Creek Shopping Center was provided at no cost by the developer. The Phase ll contract was authorized on 1-15-08 (R 4-08) and the above amounts for 1 and 11 include change order increases to date. .Acquisition of properties added $ 494,107 to this total, demolition was $47, 950, and deduction of the $89, 781 for the bridge brings the complete cost to date of.� $ 6,739,813 Current Funding Status The 4B fund has provided $2,500,000 to cover up front costs of infrastructure, since there is a lag time prior to when the tax increment is paid from newly constructed projects. The intent is for TIF #2 to pay back the 4B fund as the increment is generated. Since a significant portion of the current construction project is storm water related, the Storm water Drainage Fund is covering the remainder of the cost. Present trends suggest that TIF #2 will pay back the full amount supplied through the 4B fund. Future Projects Financial Plan projections may have considered the net costs for the City of Wichita Falls based on interpretation of the Subdivision Regulations and anticipated developer responsibilities. Updated 2008 estimates consider complete costs. Financial Plan Proiection 2008 Estimate Maplewood Lawrence to McNiel $ 173,250 (Includes Quail Creek drainage Improvements) 2 38 Ft. width — two lanes and center turn 3 48 ft. width Acquisition not included $ 2,600,000 $ 3,264,000 $ 67,000 Note: Acquisition cost estimates consider railroad property. Primary assemblage of right-of- way is assumed to be by private dedication. Wenonah Maplewood to Kell Acquisition Gregory to Wenonah Tarry to Wenonah Avenue V to Wenonah $ 753,000 not included $ 73,500 $ 189,000 $ 1, 853, 000 $ 469,600 $ 13,500 $ 50,200 $ 121,200 $ 1,100, 000 $ 775,000 Quail Creek Improvements Kemp to Midwestern ****Lawrence Realignment to $ 573,500 Rhea ***'`Figures do not include acquisition � i N —r Figure F-1. 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