O-2010-3245 adopting new Guidelines and Criteria Governing Tax Abatement Agreements

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(c) In order to enter into a tax abatement agreement, the City Council must find that the terms of the proposed agreement meet these Guidelines and Criteria and that: 1. there will be no substantial adverse effect on the provision of the jurisdictions' service or tax base; and 2. the planned use of the property will not constitute a hazard to public safety, health or morals. Any variance to these guidelines must be approved by a vote of at least three-fourths (3/4) of the City Council. Section 66-145. AGREEMENT After approval the City shall formally pass an ordinance and execute an agreement with the owner of the facility and lessee as required which shall include: (a) estimated value to be abated and the base year value; (b) percent of value to be abated each year as provided in Section 66-142 ("Abatement Authorized); (c) the commencement date and the termination date of abatement; (d) the proposed use of the facility; nature of construction, time schedule, survey, property description and improvement list; (e) contractual obligations in the event of default, violation of terms or conditions, delinquent taxes, recapture, administration and assignment as provided in Section 66-142 ("Abatement Authorized"), Section 66-146 ("Recapture"), Section 66-147 ("Administration"), and Section 66-148 ("Assignment"), or other provisions that may be required for uniformity or by state law; (f) amount of investment, increase in assessed value and number of jobs involved, as provided in Section 66-142 ("Abatement Authorized"); (g) a requirement that the applicant annually submit to HCAD and City, a January employee count for the abated facility which corresponds to employment counts reported in the facility's Employer's Quarterly Report to the Texas Workforce Commission for the quarter most recently ended at calendar year-end, and a separate notarized letter certifying the number of jobs created or retained as a direct result of the abated improvements and the number of employees in other facilities located within the City and the compliance with the environmental and worker safety requirements in the agreement for the preceding calendar year, for as of January 1. Submission shall be used to determine abatement eligibility for that year and shall be subject to audit if requested by the governing body. Failure to submit will result in the ineligibility to receive an abatement for that year; and -10-