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3. Under current Texas law, the City cannot delegate or extend to the Board <br /> its power of eminent domain. If the applicable state law is amended to <br /> permit the delegation of extension of such power, the policy of the City is <br /> not to authorize the delegation or extension of its power to the Board. <br /> In addition, the City will utilize its power of eminent domain within the Zone <br /> only if the City Council finds that a public purpose will be served by such <br /> an exercise of the City's power. <br /> If the Board proposes to condemn property for purposes related to <br /> redevelopment or urban renewal, the City will not exercise its power of <br /> eminent domain unless the City Council additionally finds that the property <br /> or the area immediately surrounding that property contains a substantial <br /> number of substandard, slum, deteriorated, or deteriorating structures. <br /> Provided, however, that in no event will the City condemn a residential <br /> homestead for purposes of redevelopment or urban renewal unless City <br /> Council finds that the property proposed to be condemned is, in fact, in a <br /> substandard or blighted condition. <br /> 4. The City will hold a public hearing prior to the approval of a Land Use Plan <br /> for the Zone in accordance with the City's Zoning Ordinance. The City will <br /> provide notice to all property owners within the Zone by certified mail, <br /> return receipt requested not less than fifteen (15) days prior to the hearing. <br /> 5. The City Council by ordinance may authorize the Board to provide for the <br /> management and administration of a public improvement district created <br /> within the Zone, as provided in such district's service plan required by law. <br /> 6. The City will not consider the creation of Municipal Utility Districts within <br /> the Zone. <br /> E. Eligible Project Costs <br /> 1. In conformance with 311.002 of the Tax Code, the City shall consider the <br /> "except for" requirements required for the creation of the Zone and make a <br /> determination on a case by case basis of the project costs necessary to <br /> implement the Project Plan and Reinvestment Zone Financing Plan. In <br /> general, the City may consider the following project costs as eligible, but is <br /> neither obligated nor limited to the following: <br /> a. Off-site utilities required to bring utilities to the Zone (e.g. water, <br /> waste water, road and drainage facilities, street lighting and traffic <br /> lights); <br /> b. Upgrade existing infrastructure to provide additional capacity for <br /> future development of properties within the Zone (e.g. lift stations, <br /> 6 Revised 5/12/99 <br />