R-98-12-10-13A2 - 12/10/1998RESOLUTION NO. R-98- 12- 10 -13A2
WHEREAS, the City Council, an the 14th day of September, 1995, in
Ordinance No. G- 95- 09- 14 -9Q, created the Downtown Reinvestment Zone in
the City of Round Rock, Texas, and
WHEREAS, in accordance with Chapter 312, Tax Code, V.A.T.S. as
amended, the City desires to enter into a tax abatement agreement with
Reid - Clifford, Inc., regarding property located in said Downtown
Reinvestment Zone, and
WHEREAS, the Council has determined that all requirements of the
guidelines and criteria adopted by Ordinance No. G- 95- 09 -14 -9P have
been complied with, Now Therefore
BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK, TEXAS
That the Mayor is hereby authorized and directed to execute on
behalf of the City a Tax Abatement Agreement with Reid - Clifford, Inc.
The City Council hereby finds and declares that written notice of
the date, hour, place and subject of the meeting at which this
Resolution was adopted was posted and that such meeting was open to the
public as required by law at all times during which this Resolution and
the subject matter hereof were discussed, considered and formally acted
upon, all as required by the Open Meetings Act, Chapter 551, Texas
Government Code, as amended, and the Act.
RESOLVED this 10th day of December,, 1998.
ATTEST:
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ANNE LAND, City Secretary
CHARLES ULPEPPET Mayor
City of Round Rock, Texas
THE STATE OF TEXAS
COUNTY OF WILLIAMSON
TAX ABA TEMENT AGREEMENT
This Tax Abatement Agreement ( "Agreement ") is entered into by and
between the City of Round Rock, Texas, a home rule city and municipal
corporation of Williamson County, Texas, duly acting herein by and
through its Mayor, hereinafter referred to as "City "; and REID-
CLIFFORD, INC., hereinafter referred to as "Owner ".
RECITALS
WHEREAS, on the 14th day of September, 1995, the City Council,
adopted Ordinance No. G- 95- 09 -14 -9Q establishing the Downtown
Reinvestment Zone, (the "DRZ "), City of Round Rock, Texas for
residential /commercial tax abatement, hereinafter referred to as
"Ordinance No. G- 95- 09- 14 -9Q ", as authorized by Chapter 312, Tax Code,
V.A.T.S. as amended, hereinafter referred to as the "Code "; and
WHEREAS, the City has adopted Ordinance No. G- 93- 12- 09 -9G, and
amended said Ordinance in Ordinance No. G- 95- 09- 14 -9P, which Ordinance
adopted appropriate guidelines and criteria governing reinvestment
zones and tax abatement agreements to be entered into by the City as
contemplated by the Code; and
WHEREAS, the contemplated use of the Premises (as hereinafter
defined) and Improvements as hereinafter defined) as well as the terms
of this Agreement are consistent with encouraging conservation and
protection of said DRZ in accordance with the purposes for its creation
and are in compliance with Ordinance No. G- 95- 09 -14 -9P and the
guidelines and criteria adopted by the City and all applicable laws;
and
WHEREAS, the Improvements constitute an investment within the DRZ
that will increase the appraised value of the Premises within the zone;
and
WHEREAS, the City finds that there will be no substantial adverse
effects on the provision of governmental services or on its tax base
and that the planned use of the Premises will not constitute a hazard
to public safety, health, or welfare, NOW THEREFORE, the parties hereto
do mutually agree as follows:
1. Property Subiect to Agreement. The property to be the subject
of this Agreement shall be a tract or parcel of land located within
the DRZ which tract or parcel is more fully described in Exhibit "A"
which is made a part hereof and shall be hereinafter referred to as the
"Premises."
2. Application for Tax Abatement. The Owner agrees and covenants
that the attached application for tax abatement (Exhibit "B ") is a part
C: \7EXT \COR.2 \DRZ \REID_WpO /cdc
1
of this Agreement, and Owner further warrants that the information
provided in that application is true and correct. If any materially
false or misleading information is provided in said application, City
shall have the discretion to declare this Agreement to be in default
and City shall be entitled to the remedies provided for in Paragraph 5.
3. Portion of Taxes Abated. Subject to the terms and conditions
of this Agreement, and subject to the rights of the holders of any
outstanding bonds of the City, a portion of ad valorem real property
taxes from the Premises otherwise owed to the City shall be abated.
City hereby acknowledges that it is not aware of any terms or
conditions of any outstanding bonds which would invalidate this
Agreement. Said abatement shall be an amount equal to the below- stated
percentages assessed upon the increased value of the Premises and
Improvements over the value in the year in which this Agreement is
executed, in accordance with the terms of this Agreement and all
applicable state and local regulations.
CHECK APPLICABLE BOX:
For new construction on a vacant lot, the City will grant
a five (5) year tax abatement for 75% of the increased
value of the Premises and Improvements over the value in
the year in which this Agreement is executed. Additionally,
the City will waive all water and wastewater impact fees.
❑ For renovations and additions to existing structures, the
City will grant a ten year tax abatement as described above
for 100°% of the increased value of the Premises and
Improvements over the value in the year in which this
Agreement is executed.
❑ Any structure, including real property, whose appraised
value according to. the Williamson County Appraisal
District, is less than $30,000 for one year previous to the
year in which an abatement is sought, is eligible for tax
abatements under this Agreement without achieving the
required points in the appropriate Checklist.
4. Right of Inspection. The Owner further agrees that the City,
its agents and employees shall have the right to enter upon the
Premises at any reasonable time to inspect the Improvements in order
to determine whether the construction of the Improvements is in
accordance with this Agreement and all applicable Federal, state, and
local laws, ordinances, and regulations or valid waiver thereof. After
completion of the Improvements, the City shall have the continuing
right to enter upon and inspect the Premises at any reasonable time
to determine whether the Premises are thereafter maintained and
operated in accordance with this Agreement and all applicable Federal,
state, and local laws, ordinances, and regulations. If the City
determines that a violation of a Federal, state or local law,
ordinance or regulation exists on the Premises, the City may, in
addition to any other authorized enforcement action, provide to the
2
Owner written notice of such violation. For the purposes of this
Agreement, the Owner shall have ten (10) days from the date of the
notice to cure or remedy such violation. If the Owner fails or refuses
to cure or remedy the violation within the ten (10) day period, the
Owner is subject to the forfeiture, at the discretion of the City, of
any right to any tax abatement for a portion of the period or the
entire period covered by this Agreement. In addition, the failure or
refusal to cure or remedy the aforesaid violation shall be considered
a default of this Agreement under Paragraph 5.
5. Events of Default. In the event that (1) the Improvements
for which an abatement has been granted are not completed in
accordance with this Agreement or (2) Owner allows its ad valorem
taxes owed the City to become delinquent and fails to timely and
properly follow the legal procedures for protest and /or contest of any
such ad valorem taxes; or (3) Owner breaches any of the terms or
conditions of this Agreement, then this Agreement shall be in default.
In the event that the Owner defaults in its performance of (1), (2),
or (3) above, then the City shall give the Owner written notice of
such default and if the Owner has not cured such default within thirty
(30) days of said written notice, this Agreement may be terminated by
the City by written notice to Owner. Such notice shall be in writing
and shall be delivered by personal delivery or certified mail to:
REID - CLIFFORD, INC.
303 West Liberty Ave.
Round Rock, Texas 78664
As liquidated damages in the event of default and in accordance
with Section 312.205, Tax Code, V.A.T.S., as amended, all taxes which
otherwise would have been paid to the City without the benefit of
abatement (without the addition of penalty, but interest will be
charged at the statutory rate for delinquent taxes as determined by
Section 33.01 of the Tax Code) shall become a debt owed by Owner to
the City and shall be due, owing and paid to the City within sixty
(60) days of the expiration of the above mentioned applicable cure
period. The City shall have all remedies for the collection of the
recaptured tax revenue as provided generally in the Tax Code for the
collection of delinquent property taxes.
6. Miscellaneous Provisions.
a) City representations. The Owner represents and
warrants that the Premises do not include any real property
that is owned or leased by a member of its respective
council or by a member of the Planning and Zoning
Commission of the City.
b) Agreement binds successors. The terms and
conditions of this Agreement are binding upon the
successors and assigns of all parties hereto.
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ATTEST:
c) Owner acting independently. It is understood and
agreed between the parties that the Owner, in performing
its obligations hereunder, is acting independently, and
the City and County assume no responsibilities or
liabilities in connection therewith to third parties.
d) Owner's Indemnity. During the term of this
Agreement, Owner agrees to indemnify and hold City and
County harmless from any and all kinds of claims, losses,
damages, injuries, suits, or judgments which may accrue to
Owner, City, County, or third parties arising out of this
Agreement.
e) Venue. This Agreement is performable in Williamson
County, Texas, and venue for any suit arising hereunder
shall be in Williamson County, Texas.
/O t I l
Witness out - hands this
, 19 ' •
LAND, City Secretary
CITY OF ROUND ROCK, TEXAS
CHARLES CULPEPiehtyor
OWNER
day of
ID CLIFFOR
BY:
ITS:
4
Exhibit "A"
Legal Description
Lots 13, 14,and 15, Block 25 of the City of Round Rock
Recorded in Cabinet A, Slide 180 -181, Plat Records Williamson County
1. Property is within the Downtown Reinvestment Zone.
2. Cost of construction /renovation Downtown Reinvestment Zone
requirements — Include cost figures and /or % of value.
3. Structure meets architectural checklist.
4. City Council approval date:
Notes:
yes
389,000
yes
12/10/98
1. Owner /Applicant:
2. Address of structure:
3. Date of application:
Exhibit "B"
Tax Abatement Application
Downtown Reinvestment Zone, City of Round Rock
4. Type of construction: Circle either "commercial" or "residential and check either
'renovation" or new construction ".
(a) Commercial Renovation:
New construction:
YX
(b) Residential Renovation:
New construction:
5. Williamson County appraised value for year of application: $ 109,688
6. Estimated value of construction: $ 389,000
7. Attachments included:
(a) Copies of receipts showing cost of work completed or itemized list of cost.
(b) Architectural checklist.
e" and "After' p • ographs for renovation projects.
Signature
Planning and Community Development approval (to be completed by P&CD)
G:Mckie/Downtown RZ/Exhibit B_DRZ
Reid- Clifford Inc. (REID'S CLEANERS)
303 W. Liperty
10 -26 -98 Phone Number. 341 -7650
Date: 10 -26 -98
roof, scale, setback, height compatible
— 0
!
5 -55I
5 0
roof, scale, setback height not companbla
I
20
classic washboard: wood or stucco
40
.40
classic washboard: masonite or vinyl
30
20
unpainted brick or stone
50
50
4 x 8 sheeting or other non-approved materials
-55
porch 260 square feet
20
porch >_ 100 square feet
40
4 0
ale, composition tile, or metal
10
10
rile in poor condition
-10
composition sheets only
-20
detached (same materials as house)
40
side or rear entry (carports)
20
2 0
front entry and/or non- approved
-55
nonmetal
20
metal (painted nonmetallic color)
10
10
metal (or sec note)
-20
casings or shutters
15
15
stone lintels or wood sills
15
15
NOTE: Must have at least one of the following: casings, shutters, stone lintels, or wood sills.
ornamental (3' or less)
10
chain link
-20
free standing polelmterior lighting
-40
landscaped monument sign
20
20
illegal sign (see Sign Ordinance)
.40
compliance with Historic Sign Ordinance
20
Residential
compatibility
maximum points = 50
facade
maximum points = 50
front porch
maximum points = 40
roof
maximum points = 10
garage/carport
maximum points = 40
windows
maximum points = 50
fence
maximum points = 10
Total Max. Points = 250
Commercial
sign
maximum points = 20
Total Max. Points = 260
REID °S CLEANERS
Downtown Reinvestment Zone Architectural Checklist
Residential Style
303 W. Liberty
P oint s Comm
TOTAL
1 210
1200 points necessary to qualify
TOTAL
230
1 220 points necessary to qualify
Compliance with the Architectural Checklist may be waived/varied in accordance with the following
1. Historically designated properties which have received HPC approval may bypass checklist
2. Proputies whose structure and/or architectural feature(s) are compatible with 51% or morn of the
frontage within a block will receive point credit for the particular feattne(s).
3. Properties whose tax appraisal value is less than $30,000 may bypass the checklist for renovation.
8/16/95
Downtown Reinvestment Zone
Tax Abatement Locations
Date: December 4,1998
Subject: City Council Meeting - December 10,1998
Item: 13.A.2. Consider a resolution authorizing the Mayor to
execute a tax abatement agreement with Reid -
Clifford, Inc. (Reid Cleaners). This application is
being submitted under the guidelines set forth for the
Downtown Reinvestment Zone. This agreement
grants a five -year tax abatement for 75% of the
increased value of the premises and improvements
over the value set in 1998. The property is located at
303 W. Liberty Avenue. Staff Resource Person: Joe
Vining, Planning Director.
Using the current ad valorem tax rate of .385 for calculation, the estimated tax
abatement during the term of this contract is as follows:
Estimated value of improvements upon completion:
WCAD appraised value (base to use annually)
Increased value eligible for tax abatement:
Estimated annual abatement:
$279,312 / $100 = $2793.12 X 75% X .385=
$389,000
(109,688)
$279,312
$ 806.51
Five Year Estimated Abatement: $4032.57