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ORD 2002-26 - Emterprise Zone Act Texas Department of Economic Development 10-29-2002ORDINANCE NO. 2002-26 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF HUNTSVILLE, TEXAS, NOMINATING AN AREA AS AN ENTERPRISE ZONE PURSUANT TO THE TEXAS ENTERPRISE ZONE ACT (TEXAS GOVERNMENT CODE, CHAPTER 2303); PROVIDING TAX INCENTIVES; DESIGNATING AN AUTHORIZED REPRESENTATIVE TO ACT IN ALL MATTERS PERTAINING TO THE NOMINATION AND DESIGNATION OF THE AREA DESCRIBED HEREIN AS AN ENTERPRISE ZONE AND REINVESTMENT ZONE (TEXAS TAX CODE, CHAPTER 312); AND FURTHER DESIGNATING A LIAISON TO ACT ON ALL MATTERS PERTAINING TO THE ENTERPRISE ZONE ACT ONCE DESIGNATED BY THE TEXAS DEPARTMENT OF ECONOMIC DEVELOPMENT. WHEREAS, the City Council of the City of Huntsville, Texas desires to create the proper economic and social environment to induce the investment of private resources in productive business enterprises located in severely distressed areas of the city and to provide employment to residents of such area; and WHEREAS, certain conditions exist in such area which represent a threat to the health, safety, and welfare of the people of such area; and WHEREAS, it is necessary and in the best interest of the City to nominate such area as an enterprise zone pursuant to the Texas Enterprise Zone Act (Texas Government Code, Chapter 2303, the "Act"); NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF HUNTSVILLE, TEXAS: Section 1. That the City hereby nominates the area described in Exhibit A attached hereto and incorporated herein for designation as an enterprise zone. Section 2. That the City Council finds the zone area meets the qualifications of the Act. Section 3. That the City Council hereby ordains and declares that upon designation of the proposed Enterprise Zone as an enterprise zone, the City may provide the following incentives, on a case by case basis, including tax incentives, which are not applicable throughout the City: (a) The City may refund to any qualified business located in such enterprise zone the amount of tax paid under the Municipal Sales and Use Tax Act (Texas Tax Code, Chapter 321) by the business and remitted to the Comptroller of Public Accounts up to the maximum extent authorized by Sections 2303.505 and 2303.506 of the Act, and for a period determined by the City, but which shall not exceed ten (10) years. (b) The City may abate taxes on the increase in value of real property improvements and eligible personal property that locate in a designated enterprise zone for a period not to exceed ten (10) years. (c) Waiver of development fees to enterprise zone businesses meeting minimum standards. (d) Accelerated zoning and permit procedures. Enterprise zone businesses will be processed upon receipt, before non - enterprise zone businesses already in hand. (e) Transfer of City -owned surplus land may be at below market price for the purpose of economic development. The ability to purchase City -owned land shall be based upon the extent to which the business receiving the property creates jobs for qualified employees. Other incentives may be provided by the City in the proposed enterprise zone upon its designation as an enterprise zone and throughout the City, including: (a) Capital improvements in water and sewer facilities and road repair. (b) The City may apply for training grants for new permanent jobs as available and appropriate to the industry. (c) One -stop permitting. (d) Improved fire and police protection. Section 4. That the area described in this ordinance is designated as an enterprise zone, and a reinvestment zone, subject to the approval of the Texas Department of Economic Development. Section 5. That the City Council directs and designates its Mayor as the City's authorized representative to act in all matters pertaining to the nomination and designation of the area described herein as an enterprise zone and a reinvestment zone. Section 6. That the City Council further directs and designates its Director of Economic Development as liaison for communication with the Texas Department of Economic Development to oversee zone activities and communications with qualified businesses. Section 7. That a public hearing to consider this ordinance was held by the City Council on October 29 2002. Section 8. That this ordinance shall take effect from and after its passage as the law and charter in such case provides. PASSED AND APPROVED on this the 29th day of October 2002. CITY OF T VILLE, TEXAS William B. Green, Mayor ATTE T: Danna Welter, City Secretary APPROVED AS TO FORM: Paul C. Isham, City Attorney � .11 ea"l ,,, 1: ,