(a)
The city is committed to the promotion of high quality residential,
commercial and industrial development in enterprise zones and in reinvestment
zones in the city and in its extraterritorial jurisdiction (“zones”);
and to an ongoing improvement in the quality of life for citizens
residing in the zones. The affected jurisdictions recognize that these
objectives are generally served by enhancement and expansion of the
local economy. The affected jurisdictions will give consideration
to providing tax abatement, as authorized by Texas Tax Code, chapter
312, or Texas Government Code, chapter 2303, as stimulation for economic
development within the zones. It is the policy of the affected jurisdictions
that said consideration will be provided in accordance with the guidelines
and criteria herein set forth.
(b)
Nothing contained herein shall imply, suggest or be understood to
mean that the affected jurisdictions are under any obligation to provide
tax abatement to any specific applicant (Texas Tax Code, section 312.002(d)).
With the above rights reserved, all applicants for tax abatement will
be considered on the basis of the following guidelines and criteria:
(Ordinance 2019-22 adopted 7/9/19)
As used within these guidelines and criteria, the following
words or phrases shall have the following meaning:
The City of Odessa, the County of Ector, the Ector County
Hospital District and Odessa Junior College.
The assessed value of the property eligible for tax abatement
as of January 1st preceding the execution of a tax abatement agreement,
as defined herein.
The City of Odessa and its extraterritorial jurisdiction.
Facilities classified as commercial include local office,
service, or retail.
A building or structure, also referred to as a distribution
center, used or to be used primarily to receive, store, service or
distribute goods or materials for a regional, statewide, national
or international market.
New investment as defined herein.
A facility or structure in its existing condition as of the
date of execution of the tax abatement agreement, located in or on
real property, as defined herein.
A facility that is used for manufacturing and producing a
product; research and development; distribution centers; warehouse
facilities, capable of serving as a decentralized storage; regional
or national corporate headquarters. The majority of the products or
services must be ultimately exported to regional, statewide, national
or international markets. Industrial facility does not include local
retail, service or office.
New permanent job(s) that provide at least 1,820 hours of
employment a year to an employee or employees and are intended to
exist during the period of the tax abatement agreement.
The construction of a new facility on previously undeveloped
real property eligible for tax abatement.
Subject to the following listed exceptions, new investment means
the portion of the value of the real property or of the tangible personal
property located on the real property, or both, to the extent its
value for that year exceeds its value for the year in which the agreement
is executed or as otherwise provided by chapter 312 of the Tax Code
as now adopted or as hereinafter amended.
It must be an improvement or repair to the property. An improvement
means a valuable addition made to property (usually real estate) or
amelioration in its condition, amounting to more than maintenance
or replacement, costing labor or capital and intended to enhance its
value, beauty or utility or to adopt it for new or additional purposes.
It generally has reference to buildings, but it may also include
permanent structures or other development, such as a street, sidewalks,
sewers and utilities.
It includes personal property, such as machinery, however, personal
property such as vehicles, inventory or supplies shall not be included.
Aircraft, housing (except as allowed for a residential facility,
hotel convention center and ancillary development or downtown facilities,
as provided for herein,) boats, property owned by the state and property
owned by a member of an affected jurisdiction are not included.
It is also understood that new investment is meant to be the
added value that would be subject to ad valorem taxation but for the
tax abatement, except for any improvements that are required to be
constructed and dedicated to a public entity. The value will be estimated
based on the schedules used by the appraisal district for common property
or based on the cost method of valuation used by the appraisal district.
Such estimates of cost and value for tax appraisal purposes include
the following direct and indirect elements of cost such as direct
labor, materials, supervision, utilities, equipment rental, installation
of components, architecture and engineering, building permits, title
and legal expenses, all risk insurance during construction, other
taxes during construction, construction loan fees and interest payments
during construction and any overhead for such construction. Though
the estimate of new investment is based on principles of assessing
property for ad valorem taxes, the appraisal district is not obligated
to find the same value when it performs the official appraisal of
the property each year.
Either the title owner or a lessee, with a lease commitment
of at least 15 years, of the eligible abatement property on January
1st of the year subject to the tax abatement.
Land on which real property improvements are to be made.
The addition of buildings, structures, machinery or equipment
to a facility after the date of execution of a tax abatement agreement.
Any personal property, not otherwise defined herein, and
which is necessary for the proper operation of any type of residential,
commercial or industrial facility.
An agreement between the owner and any affected jurisdiction
which provides for tax abatement and complies with all statutory and
guideline regulations.
The area in the city or in its extraterritorial jurisdiction
designated as an enterprise zone pursuant to the Enterprise Zone Act,
chapter 2303, Texas Government Code and it shall also include reinvestment
zones established pursuant to chapter 312 of the Tax Code.
(Ordinance 2019-22 adopted 7/9/19)
The intent of the criteria and guidelines, as herein set forth,
is to establish the minimum standards which an applicant for tax abatement
must meet in order to be considered eligible by the affected jurisdictions.
(Ordinance 2019-22 adopted 7/9/19)
(a)
Commercial facility tax abatement.
A commercial facility
will be eligible for tax abatement consideration provided such commercial
facility meets the following guidelines and criteria:
(1)
A business must clearly add to the city economic base. Compliance
with this criterion must show that additional jobs are being provided
unless significant capital is being invested so that the capital investment
is sufficient consideration standing alone.
(3)
Property that does not comply with the definition of eligible abatement
property shall be fully taxed.
(4)
Eligible abatement property that is located outside the city limits
but in an industrial district may be allowed an abatement of money
paid in lieu of taxes subject to the same terms, conditions and restrictions
as are applicable to property taxes in the city. It may also provide
for tax abatement at such time as the property is annexed by the city.
(5)
In order for a commercial facility to qualify for abatement, the
following conditions must apply:
(A)
The eligible abatement property must be owned by the person, corporation,
partnership or other business entity that receives the tax abatement;
or
(B)
In the case of eligible abatement property leased from an affected
jurisdiction, the eligible abatement property must be owned by the
person, corporation, partnership or other business entity that would
receive the tax abatement except for the lease, and said owner must
have a lease commitment of at least 15 years.
(C)
A tax abatement agreement may not be assigned to a new owner, unless
provided for in the tax abatement agreement.
(D)
Property must be properly zoned for the use stated by the owner in
the application.
(6)
The amount and term of abatement shall be determined based on the
criteria and schedule for incentives provided herein, however, in
no event shall taxes be abated for a term in excess of ten (10) years
commencing as provided by the Texas Tax Code, chapter 312. The amount
of the taxable value of eligible abatement property to be abated by
the affected jurisdiction shall be from 10% to 100% and the term of
the abatement shall be based on the criteria and incentive schedule
set forth herein.
(7)
No commercial facility shall be eligible for tax abatement under
these guidelines and criteria unless such property is located in a
zone and in compliance with Texas Tax Code, chapter 312.
(8)
(10)
The governing body of each affected jurisdiction shall have total
discretion as to whether to participate in the tax abatement to be
granted within a zone for a particular real property site. Such discretion,
as herein retained, shall be exercised on a case-by-case basis. The
adoption of these guidelines and criteria by the governing body of
an affected jurisdiction does not:
(A)
Limit the discretion of the governing body to decide whether
to enter into a specific tax abatement agreement;
(B)
Limit the discretion of the governing body to delegate to its
employees the authority to determine whether or not the governing
body should consider a particular application or request for tax abatement;
or
(C)
Create any property, contract, or other legal right in any person
to have the governing body consider or grant a specific application
for tax abatement.
(11)
The burden to demonstrate that an application for tax abatement should
be granted shall be upon the applicant. Each affected jurisdiction
to which the application has been directed shall have full authority
to request any additional information from the applicant that the
governing body of such affected jurisdiction deems necessary to assist
it in considering such application.
(12)
In order to receive city tax abatement for eligible abatement property,
the owner must agree to improve or rehabilitate the property to the
standard required by the city.
(b)
Industrial facility tax abatement.
An industrial facility
will be eligible for tax abatement consideration provided such facility
meets the following guidelines and criteria:
(2)
Tax abatement is limited to 10 years.
(3)
Compliance with criteria must show that additional jobs are being
provided unless significant capital is being invested so that the
capital investment is sufficient consideration standing alone.
(4)
In order for an industrial facility to qualify for abatement, one
of the following conditions must apply:
(A)
The eligible abatement property must be owned by the person, corporation,
partnership or other business entity; or
(B)
In the case of leased eligible abatement property, all improvements
placed thereon together with all tangible personal property used in
conjunction with said improvements must be owned by the person, corporation,
partnership or other business entity, and said owner must have a lease
commitment of at least 15 years.
(C)
Property must be properly zoned for the use stated by the owner in
the application.
(5)
No property shall be eligible for tax abatement unless such property
is located in a zone.
(6)
In order to receive city tax abatement, the owner must agree to improve
or rehabilitate the property to the standard required by the city.
(7)
The economic qualification for industrial facility tax abatement,
subject to other provisions herein, shall be as follows:
(A)
New industrial facility.
(i)
The creation and operation of a new industrial facility which
has not previously existed within the affected jurisdiction; and
(ii)
The eligible abatement property to be erected or affixed in
or on the real property for which tax abatement is sought, excluding
the base year value, must be at a minimum value of one million dollars,
and the new industrial facility must create and retain at least 10
jobs during the term established in the tax abatement agreement executed
by the owner and the affected jurisdiction; or
(B)
Expansion of existing industrial facility.
(i)
The structural addition to an industrial facility in the amount
of at least $500,000.00, and the creation and retention of additional
jobs equal to 10% of the prior work force at said industrial facility
during the term established in the tax abatement agreement executed
by owner and the affected jurisdiction; or
(ii)
In the event the value of the structural addition is less than
$500,000.00, there will be an increase in value of 25% of the existing
facility and the expansion will cause an increase in and retention
of the existing work force at said industrial facility by at least
25% during the term established in the tax abatement agreement executed
by owner and the affected jurisdiction.
(C)
Modernization of existing facility.
(i)
The replacement and upgrading of an existing industrial facility
and the value of such improvements, excluding the land, will be at
a minimum value of one million dollars, and such replacement and upgrading
must create and retain at least an additional 10 jobs during the term
established in the tax abatement agreement executed by the applicant
and the affected jurisdiction; or
(ii)
In the event the value of the replacement or upgrading is less
than one million dollars, the modernization will cause an increase
in and retention of the existing work force at such facility by at
least 25% during the term established in the tax abatement agreement
executed by applicant and the affected jurisdiction.
(D)
Term; amount.
The minimum term of the tax abatement
is 1 year and the maximum term is 10 years, commencing as provided
by the Texas Tax Code, chapter 312, regardless of when job creation
starts. The minimum amount of the tax abatement is 10% and the maximum
amount of the tax abatement is 100% of the appraised value of the
eligible abatement property.
(8)
Eligible abatement property that is located outside the city limits
but in an industrial district shall be subject to an abatement of
money paid in lieu of taxes subject to the same terms, conditions,
and restrictions as would be applicable inside the city limits.
(10)
The governing body of each affected jurisdiction shall have total
discretion as to whether to participate in the tax abatement to be
granted an owner within the zone. Such discretion, as herein retained,
shall be exercised on a case-by-case basis. The adoption of these
guidelines and criteria by the governing body of an affected jurisdiction
does not:
(A)
Limit the discretion of the governing body to decide whether
to enter into a specific tax abatement agreement;
(B)
Limit the discretion of the governing body to delegate to its
employees the authority to determine whether or not the governing
body should consider a particular application or request for tax abatement;
or
(C)
Create any property, contract, or other legal right in any person
to have the governing body consider or grant a specific application
or request for tax abatement.
(11)
The burden to demonstrate that an application for tax abatement should
be granted shall be upon the applicant. Each affected jurisdiction
to which the application has been directed shall have full authority
to request any additional information from the applicant that the
governing body of such affected jurisdiction deems necessary to assist
it in considering such application.
(c)
Residential facility tax abatement.
A residential facility
will be eligible for tax abatement consideration provided such residential
facility meets the following guidelines and criteria:
(1)
Only the owners of housing, which is not a single-family residence,
duplex, condominium or townhome, shall be eligible for tax abatement.
(2)
Other than for low-income housing, in order to qualify for tax abatement,
the residential facility must be developed in conjunction with a commercial
facility that qualifies for tax abatement and not more than 50 percent
of the land area in the zone may be used solely for a residential
facility.
(3)
The term and amount of abatement shall be the same as provided for
the commercial facility developed with the residential facility.
(4)
Abatement may only be granted for the addition of new value through
modernization, construction or expansion of a residential facility.
(5)
Property that does not comply with the definition of eligible abatement
property shall be fully taxed.
(6)
A tax abatement agreement may not be assigned unless provided for
in the tax abatement agreement.
(7)
The property must be properly zoned.
(8)
The property must be located in a zone and in compliance with Texas
Tax Code, chapter 312.
(10)
The governing body of each affected jurisdiction shall have total
discretion as to whether to participate in the tax abatement to be
granted within a zone for a particular real property site. Such discretion,
as herein retained, shall be exercised on a case-by-case basis. The
adoption of these guidelines and criteria by the governing body of
an affected jurisdiction does not:
(A)
Limit the discretion of the governing body to decide whether
to enter into a specific tax abatement agreement;
(B)
Limit the discretion of the governing body to delegate to its
employees the authority to determine whether or not the governing
body should consider a particular application or request for tax abatement;
or
(C)
Create any property, contract, or other legal right in any person
to have the governing body consider or grant a specific application
for tax abatement.
(11)
The burden to demonstrate that an application for tax abatement should
be granted shall be upon the applicant. Each affected jurisdiction
to which the application has been directed shall have full authority
to request any additional information from the applicant that the
governing body of such affected jurisdiction deems necessary to assist
it in considering such application.
(12)
In order to receive city tax abatement for eligible abatement property,
the owner must agree to construct, modernize or expand the property
to the standard required by the city.
(d)
Hotel, convention center and ancillary development.
(1)
The location of improvements is significant, with those located within
1,000 feet of the hotel or convention center facility having the greatest
impact to revitalize the downtown area. For that reason, there is
justification for additional incentives to encourage development in
that area. This section is applicable to that area within 1,000 feet
of the hotel or convention center facility located between Texas Avenue,
5th Street, 6th Street and the alley located in the block between
Hancock and Tom Green. Attached as exhibit A to Ordinance 2019-22
is an area map depicting the location.
(2)
The provisions set forth in this section shall supersede provisions
included in other sections of the guidelines and criteria to the extent
of any conflict. Terms and conditions set forth in section 11-3-5
can be modified if the proposed terms comply with state laws.
(3)
“Convention center and ancillary development” in the
described area shall mean: convention centers, entertainment related
facilities, meeting spaces, restaurants, shops, hotels and parking
facilities.
(4)
The amounts and terms for tax abatement offered for convention center
and ancillary development shall be based on the type and quality of
the improvements, location, cost of construction, number of jobs,
subject to statutory law requirements for Texas Government Code, chapter
2303 or Texas Tax Code, chapter 312, whichever is applicable. It must
show a clear demonstration of public purpose and economic benefit
through advancement of the city’s revitalization strategy for
the future growth and development of the downtown area.
(5)
If applicable, other sections in these guidelines are available as
another option.
(6)
Abatement may only be granted for the addition of new value through
modernization, construction or expansion.
(7)
Property that does not comply with the definition of new investment
shall be fully taxed.
(8)
A tax abatement agreement may not be assigned unless provided for
in the tax abatement agreement.
(9)
The property must be properly zoned.
(10)
The governing body of each affected jurisdiction shall have total
discretion as to whether to participate in the tax abatement to be
granted within a zone for a particular real property site. Such discretion,
as herein retained, shall be exercised on a case-by-case basis. The
adoption of these guidelines and criteria by the governing body of
an affected jurisdiction does not:
(A)
Limit the discretion of the governing body to decide whether
to enter into a specific tax abatement agreement;
(B)
Limit the discretion of the governing body to delegate to its
employees the authority to determine whether or not the governing
body should consider a particular application or request for tax abatement;
or
(C)
Create any property, contract, or other legal right in any person
to have the governing body consider or grant a specific application
for tax abatement.
(11)
The burden to demonstrate that an application for tax abatement should
be granted shall be upon the applicant. Each affected jurisdiction
to which the application has been directed shall have full authority
to request any additional information from the applicant that the
governing body of such affected jurisdiction deems necessary to assist
it in considering such application.
(12)
In order to receive city tax abatement for eligible abatement property,
the owner must agree to construct, modernize or expand the property
to the standard required by the city.
(e)
Downtown facilities.
(1)
Downtown facilities shall include all downtown residential facilities
and downtown commercial facilities.
(2)
Downtown residential facilities shall mean any type of multifamily residential facility including condominiums, townhomes, lofts, and apartments located in the downtown area which is within the following boundaries: 1st Street, Adams Avenue, 10th Street and Bernice Avenue except for the area within the hotel convention center and ancillary development area which is covered in subsection (d).
(3)
Downtown commercial facilities shall mean all services, retail, entertainment related facilities, meeting spaces, restaurants, shops, offices and parking facilities located in the downtown area which is within the following boundaries: 1st Street, Adams Avenue, 10th Street and Bernice Avenue except for the area within the hotel convention center and ancillary development area which is covered in subsection (d).
(4)
All downtown facilities whether for new construction or the modernization
or expansion of existing facilities are subject to consideration for
tax abatement with the amount and terms to be based on the type, quality,
location of the improvements, jobs, and cost of new investment subject
to statutory law requirements for Texas Government Code, chapter 2303,
and Tax Code, chapter 312. It must show a clear demonstration of public
purpose and economic benefit through advancement of the city’s
revitalization strategy for the future growth and development of the
downtown area and subject to the following additional guidelines regarding
investment:
(A)
Qualifications for five (5) years tax abatement.
Minimum new investment of $100,000.00.
(B)
Qualifications for six (6) years tax abatement.
Minimum new investment of at least $250,000.00.
(C)
Qualifications for seven (7) years tax abatement.
Minimum new investment of at least $500,000.00.
(D)
Qualifications for eight (8) years tax abatement.
Minimum new investment of at least $750,000.00.
(E)
Qualifications for nine (9) years tax abatement.
Minimum new investment of at least $1 million.
(F)
Qualifications for ten (10) years tax abatement.
Minimum new investment of at least $2 million.
(5)
Abatement may only be granted for the addition of new value through
modernization, construction or expansion of a residential facility.
(6)
Property that does not comply with the definition of new investment
shall be fully taxed.
(7)
A tax abatement agreement may not be assigned unless provided for
in the tax abatement agreement.
(8)
The property must be properly zoned.
(9)
The governing body of each affected jurisdiction shall have total
discretion as to whether to participate in the tax abatement to be
granted within a zone for a particular real property site. Such discretion,
as herein retained, shall be exercised on a case-by-case basis. The
adoption of these guidelines and criteria by the governing body of
an affected jurisdiction does not:
(A)
Limit the discretion of the governing body to decide whether to enter
into a specific tax abatement agreement;
(B)
Limit the discretion of the governing body to delegate to its employees
the authority to determine whether or not the governing body should
consider a particular application or request for tax abatement; or
(C)
Create any property, contract, or other legal right in any person
to have the governing body consider or grant a specific application
for tax abatement.
(10)
The burden to demonstrate that an application for tax abatement should
be granted shall be upon the applicant. Each affected jurisdiction
to which the application has been directed shall have full authority
to request any additional information from the applicant that the
governing body of such affected jurisdiction deems necessary to assist
it in considering such application.
(11)
In order to receive city tax abatement for eligible abatement property,
the owner must agree to construct, modernize or expand the property
to the standard required by the city.
(12)
If applicable, other sections in these guidelines are available as another option except for subsection (d).
(13)
The provisions set forth in this section shall supersede provisions
included in other sections of these guidelines and criteria to the
extent of any conflict.
(Ordinance 2019-22 adopted 7/9/19)
(a)
The tax abatement agreement must:
(1)
List the kind, number, and location of all proposed improvements
on the property;
(2)
Provide access to and authorize inspection of the property by municipal
employees to ensure that the improvements or repairs are made according
to the specifications and conditions of the agreement;
(3)
Limit the uses of the property consistent with the general purpose
of encouraging development or redevelopment of the zone during the
period that property tax exemptions are in effect;
(4)
Provide for recapturing property tax revenue lost as a result of
the tax abatement agreement, within 90 days after written notice,
if the owner of the property fails to make the improvements or repairs
as provided by the tax abatement agreement;
(5)
Contain each term agreed to by the owner of the property;
(6)
Require the owner of the property to submit certain documents and
to certify annually to the governing body of each taxing unit that
the owner is in compliance with each applicable term of the agreement;
and
(7)
Provide that the governing body of the municipality may cancel or
modify the agreement if the owner fails to comply with the agreement.
(8)
Include the following provision as a part of the “recapture”
section, now 2.13:
|
“7. Company shall not appeal to court the value of the
new investment as determined by the appraisal review board of the
appraisal district when such value is less than 80% of the new investment
estimated by the company and expressed as the minimum new investment
in the tax abatement agreement. Such calculations shall exclude any
property value for improvements dedicated to a public entity.”
|
(9)
Provide for recapturing property tax revenue lost by each participating
tax entity, within 90 days after written notice, if the owner assigns
or sells the real property to a tax exempt entity prior to ten years
after the expiration of the tax abatement agreement.
(b)
The tax abatement agreement shall be subject to any applicable provisions
in Texas Government Code, section 2303 or Texas Local Government Code,
section 380 or chapter 312, Texas Tax Code.
(Ordinance 2019-22 adopted 7/9/19)
(a)
Not later than the seventh day before the city (as required by Texas
Tax Code, section 312.2041 or section 312.402) enters into an agreement
for tax abatement under Texas Tax Code, section 312.204, the governing
body or a designated officer or employee thereof shall deliver to
the presiding officer of the governing body of each of the other affected
jurisdictions in which the property to be subject to the agreement
is located, a written notice that the city intends to enter into the
agreement. The notice must include a copy of the proposed tax abatement
agreement.
(b)
The notice, as above described in subsection (a), is presumed delivered when placed in the mail, postage paid and properly addressed to the appropriate presiding officer. A notice properly addressed and sent by registered or certified mail for which a return receipt is received by the sender is considered to have been delivered to the addressee.
(c)
Failure to deliver the notice does not affect the validity of the
agreement or subject any affected jurisdiction to any claims or suit
for damages.
(d)
To be effective, the tax abatement agreement must be approved by
the affirmative vote of a majority of the members of the governing
body of the municipality or other affected jurisdiction at a regularly
scheduled meeting of the governing body.
(e)
On approval by the governing body, the tax abatement agreement may
be executed in the same manner as other contracts made by the municipality
or other affected jurisdiction.
(f)
If property taxes on property located in the zone are abated, the
governing body of each affected jurisdiction may execute a written
agreement with the owner of the property not later than the 90th day
after the date the municipal or county agreement is executed, whichever
is later. The tax abatement agreement may, but is not required to,
contain terms that are identical to those contained in the tax abatement
agreement with the municipality, county, or both, whichever applies,
and the only terms of the tax abatement agreement that may vary are
the portion of the property that is to be exempt from taxation under
the tax abatement agreement and the duration of the tax abatement
agreement.
(g)
At any time before the expiration of the tax abatement agreement,
the tax abatement agreement may be modified to include other provisions
that could have been included in the original tax abatement agreement
or to delete provisions that were not necessary to the original tax
abatement agreement. The modification must be made by the same procedure
by which the original tax abatement agreement was approved and executed.
The tax abatement agreement may not be modified to extend beyond 10
years from the date the abatement begins. The tax abatement agreement
may be terminated by the mutual consent of the parties in the same
manner that the tax abatement agreement was approved and executed.
(Ordinance 2019-22 adopted 7/9/19)
Any owner of a residential, commercial or industrial facility
located within in the zone may apply for tax abatement by filing an
application with the zone administrator which shall be sufficient
to determine the merits of the proposed project and to prepare the
tax abatement agreement.
(Ordinance 2019-22 adopted 7/9/19)
The following reporting and monitoring provisions shall apply:
(1)
Company shall provide proof to the city of jobs created, new investments
and any other required consideration. Documentation for jobs may be
in the form of quarterly IRS 941 returns, TWC employer quarterly reports,
or a certified employee roster that show the hours worked and positions
filled and such other reports as may reasonably be required.
(2)
Company, during normal business hours, at its headquarters, shall
allow the city reasonable access to its employment records and books
to verify employment records, but the confidentiality of such records
will be maintained by the city.
(3)
Company shall certify annually, in a form mutually agreed upon by
the city and company that the owner is in compliance with each applicable
term of this agreement. Company shall also provide any other reports
that are reasonably necessary for the city to make such certification.
(Ordinance 2019-22 adopted 7/9/19)
The city shall assist a qualified business that is eligible
in obtaining a state franchise tax refund. Whether or not a state
franchise tax refund is granted in a particular case is subject to
criteria established by the state, not the city.
(Ordinance 2019-22 adopted 7/9/19)
The city shall assist a qualified business that is eligible
in obtaining a state sales tax refund as authorized by Tax Code, section
151.429 and Government Code, section 2303.504, as well as any other
state benefits authorized by law.
(Ordinance 2019-22 adopted 7/9/19)
The governing body of an affected jurisdiction may agree in
writing with the owner of a leasehold interest in tax-exempt real
property that is located in a reinvestment zone, but that is not in
an improvement project financed by tax increment bonds, to exempt
a portion of the value of property subject to ad valorem taxation,
including the leasehold interest, improvements, or tangible personal
property located on the real property, for a period not to exceed
10 years, on the condition that the owner of the leasehold interest
make specific improvements or repairs to the real property. A tax
abatement agreement under this section is subject to the rights of
holders of outstanding bonds of the municipality. An agreement exempting
taxable real property or leasehold interests or improvements on tax-exempt
real property may provide for the exemption of such taxable interests
in each year covered by the agreement only to the extent its value
for that year exceeds its value for the year in which the agreement
is executed.
(Ordinance 2019-22 adopted 7/9/19)
