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HomeMy WebLinkAbout031927 ORD - 11/12/2019 Page 1 of 6 Ordinance pertaining to North Beach designating a 1,423 acre area within the jurisdiction of the City of Corpus Christi Tax Increment Reinvestment Zone (TIRZ) Number 4; setting a maximum City financial participation of $20,000,000 via a scaled contribution for a period not to exceed 20 years; establishing a Board of Directors for the TIRZ; and, establishing a preliminary Project and Financing Plan. WHEREAS, the Texas Legislature has authorized cities to establish reinvestment zones by its enactment of the Tax Increment Financing Act, Chapter 311, Texas Tax Code ("Act"); WHEREAS, it has been proposed that the City of Corpus Christi should establish a reinvestment zone ("Zone"), as authorized by the Act, within the area of the City as described by metes and bounds in Exhibit A, and depicted by map in Exhibit B, which exhibits are attached to and incorporated into this ordinance; WHEREAS, the City has prepared a preliminary reinvestment zone financing plan, a true and correct copy of which is attached to and incorporated into this ordinance as Exhibit C; WHEREAS, the preliminary reinvestment zone financing plan provides that portions of the ad valorem taxes of the City constituting its tax increment (as described in Section 8 of this ordinance) are to be deposited into the Tax Increment Fund created by this ordinance, and that ad valorem taxes of the other taxing units constituting their respective tax increments may also be utilized for the purposes described in the preliminary financing plan in accordance with agreement from those other taxing entities to contribute said increment; WHEREAS, in compliance with the Act, the City called a public hearing to hear public comment on the creation of the proposed zone and its benefits to the City and the property in the proposed zone; WHEREAS, in compliance with the Act, notice of the public hearing was published in the Corpus Christi Caller-Times, a daily newspaper having general circulation in the City, the publication date being not later than seven days prior to the date of the public hearing; WHEREAS, the hearing was convened at the time and place mentioned in the published notice, to-wit, on the 29th day of October, 2019, at the Regular Meeting of the City Council commencing at 11:30 a.m., at the City Hall of the City, which hearing was conducted and then closed; WHEREAS, the City, at the hearing, invited and permitted any interested person to speak for or against the creation of the zone, its boundaries, and the concept of tax increment financing; WHEREAS, all owners of property located within the proposed zone were given a reasonable opportunity to protest the inclusion of the property in the proposed zone; 031927 SCANNED Page 2 of 6 WHEREAS, City Council considered all information provided to it relevant to the merits of creating the zone, consistent with the criteria in Chapter 311; and WHEREAS, all requirements of the Act have been met. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS, THAT: SECTION 1. The facts and recitations contained in the preamble of this Ordinance are found and declared to be true and correct. SECTION 2. The City Council, after conducting the above-described public hearing and having heard all evidence and testimony, makes the following findings and determinations based on the evidence and testimony presented to it: (a) That the Zone is a contiguous geographic area located wholly within the corporate limits of the City. (b) That the area substantially arrests or impairs the sound growth of the City, retards the provision of multi-family housing accommodations, constitutes an economic or social liability, and is a menace to the public health, safety, morals, or welfare in its present condition and use because of: (1) Unsafe conditions, including deteriorating streets and defective and inadequate sidewalks throughout the proposed zone, pose a threat to visitors, residents, and customers of businesses. The lack of appropriate curb cuts and ramps limit the mobility of persons with disabilities. (2) Non-existent, inadequately sized, or deteriorated utility infrastructure, including wastewater and fiber optics, substantially arrests or impairs the sound growth of the City and retards the development of multi-family housing and other business or visitor facilities. The existing utility infrastructure in its current condition constitutes an economic or social liability and is a hazard to the public health and welfare in the proposed zone. (3) The inadequate street layout, lack of adequate improved parking, and limited way-finding and other signage hampers movement of vehicles and pedestrians throughout the proposed zone. This problem will be exacerbated by the relocation of the Harbor Bridge in the coming years. While the new bridge provides additional potential for growth within the proposed zone, such potential may not be realized due to this problematic infrastructure. (4) Deteriorating public spaces with inadequate pedestrian scale lighting, limited irrigation systems and inadequate access to water lines for drinking fountains and hose bibs throughout the proposed zone limit the types of Page 3 of 6 landscaping and public amenities that can be installed within the proposed zone. (5) Lack of water and electrical meters in parks limits the activities within the available public spaces. (6) Unsafe conditions due to the lack of security cameras and other safety programs pose a threat to visitors and residents. (7) Inadequate drainage facilities substantially arrest or impair the sound growth of the City and retard the development of multi-family housing and other business or visitor facilities in the proposed zone, including potential hotel developments. (c) That tourism and convention business is of extreme importance to the Corpus Christi economy, and the area within the proposed district has tremendous, unrealized potential to support tourist and convention facilities as the area includes some of the biggest tourist attractions in Corpus Christi, including the Texas State Aquarium and the USS Lexington, and it is essential that this presently under-developed area be fully developed to encourage tourism to continue in the area. (d) That no more than 30 percent of the property in the proposed reinvestment zone, excluding property that is publicly owned, is used for residential purposes. (e) That the total appraised value of taxable real property in the proposed reinvestment zone and in existing reinvestment zones within the City according to the most recent appraisal rolls for the City, does not exceed 25 percent of the current total appraised value of taxable real property in the City and in the industrial districts created by the City. (f) That the improvements to be implemented in the proposed zone will significantly enhance the value of all taxable real property in the proposed zone and will be of general benefit to the City. SECTION 3. The City Council designates as a reinvestment zone the area described by the metes and bounds in Exhibit A and depicted by map in Exhibit B to promote development and redevelopment of the area, which development or redevelopment the City Council determines will not occur solely through private investment in the reasonably foreseeable future. The reinvestment zone shall be identified as "Reinvestment Zone Number Four, City of Corpus Christi, Texas" ("Zone" or "Reinvestment Zone"). SECTION 4. That a board of directors for the Zone (the "Board") is established, which consists of up to 15 members. The Board shall be appointed as follows: (a) Under Section 311 .009(a), Tax Code, the respective governing bodies of each taxing unit other than the City that levies taxes within the Zone each may Page 4 of 6 appoint one member of the Board if the taxing unit has approved the payment of all or part of the tax increment produced by the unit into the tax increment fund for the zone. Each governing body may waive its right to appoint a director and is deemed to have waived the right if it has not made the appointment within 30 days of receiving written notice of its right to appoint. (b) The remaining members of the Board are appointed by the City Council of the City. All members appointed by the Board must meet eligibility requirements, as set forth in the Act. Provided, however, notwithstanding any other provision of this Ordinance, the City Council has the right to appoint at least 10 members of the Board, and the Board may exceed 15 members, if necessary for the City Council to make the 10 appointments. (b) Terms of Board members are two years. Terms must be staggered, with the first term of 8 City Council appointees being for one year. Officers must be appointed as provided in the Act. (c) The Board shall make recommendations to the City Council concerning the administration of the Zone. The Board shall prepare and adopt a project plan and reinvestment zone financing plan for the Zone, and submit the plans to the City Council for its approval under Section 311.011, Texas Tax Code. (d) The City Council specifically authorizes the Board to approve agreements that the Board considers necessary or convenient to implement the project plan and reinvestment zone financing plan and achieve their purposes. Any amendments to the project plan and/or reinvestment zone financing plan must be approved by ordinance of City Council. SECTION 5. The Zone shall take effect immediately upon the passage of this Ordinance. Termination of the Zone occurs on December 31, 2039, or at an earlier or later time designated by subsequent ordinance of the City Council or at the time as all project costs, and all tax increment bonds and interest on any bonds, have been paid in full. SECTION 6. The Tax Increment Base for the Zone, which is the total appraised value of all taxable real property located in the Zone for the year in which the Zone is designated, is shown in Exhibit D, which is attached to and incorporated into this ordinance. SECTION 7. There is established a Tax Increment Fund for the Zone, which may be divided into the accounts and sub-accounts, as deemed necessary or convenient under generally accepted accounting principles for government, into which all tax increments, less any amounts not required to be paid into the Tax Increment Fund under the Act, are to be deposited. The Tax Increment Fund may be utilized only for purposes permitted by the Act and managed under the Act. SECTION 8. The amount of tax increment that the City contributes to the Tax Increment Fund for each year is described in the table below. If at any time, the total amount of Page 5 of 6 increment contributed to the Tax Increment Fund by the City reaches or exceeds $20 million, then the City shall immediately cease contributions of increment to the Tax Increment Fund. Increment Percentage Tax Year(s) 100% 2019 through 2028 75% 2029 through 2038 SECTION 9. The City Council finds that the creation of the Zone and the expenditure of moneys on deposit in the Tax Increment Fund, which are necessary or convenient to the creation of the Zone or to the implementation of the project plan for the Zone, constitute a program to promote local economic development and to stimulate business and commercial activity in the City. SECTION 10. If for any reason any section, paragraph, subdivision, clause, phrase, word or provision of this ordinance shall be held invalid or unconstitutional by final judgment of a court of competent jurisdiction, it shall not affect any other section, paragraph, subdivision, clause, phrase, word, or provision of this ordinance, for it is the definite intent of this City Council that every section, paragraph, subdivision, clause, phrase, word or provision of this ordinance be given full force and effect for its purpose. Page 6 of 6 PASSED AND APPROVED, this the 7, th day of /I/Dv ✓, o�Gl9 . ATTEST: Nal V. Re ecca Huerta J.- cComb City Secretary . (ir That the foregoing ordinance was read for the first time and passed to its second reading on this the �, day of bcf�be, - , ‘.9(:.;1 7, by the following vote: Joe McComb f Michael Hunter Atte_ Roland Barrera - _ Ben Molina Rudy Garza rZ Everett Roy 47.e-- Paulette M. Guajardo j-Z Greg Smith .e- Gil Hernandez 47.e- That the foregoing ord n nce was read for the second time and passed finally on this the /, day of v 1.-1-P✓ , , C,/ 0l , by the following vote: Joe McComb , j Michael Hunter jrz- Roland Barrera A-7 Ben Molina A.� Rudy Garza if--7_ Everett Roy A cz- Paulette M. Guajardo 41-IL Greg Smith sZ, Gil Hernandez A----ti.e- 0 319 7 URBAN ENGINEERING Job No. 43201.B9.08 August 26, 2019 Exhibit A 1,423 Acre North Beach Tax Increment Reinvestment Zone (TIRZ) STATE OF TEXAS COUNTY OF NUECES Fieldnotes, for a 1,423 Acre Tract of Land(Not based on an on the ground Survey), situated between the Corpus Christi Shipping Channel and Nueces Bay, over and across a portion of land commonly known as North Beach, Corpus Christi Bay, Nueces Bay, Rincon Channel and Corpus Christi Shipping Channel in Nueces County, Texas; the said 1,423 Acre Tract being more fully described as follows: Beginning, at a point with a Northing of 17188715.765 and an Easting of 1342004.769, for a corner of this Tract and the point of Beginning; Thence, with distances and bearings as follows: • North 58°16'18" West, a distance of 807.37 Feet to a point for a corner of this Tract; • North 31°12'27" East, a distance of 519.93 Feet to a point for a corner of this Tract; • North 12°34'59" West, a distance of 298.84 Feet to a point for a corner of this Tract; • North 58°13'03" West, a distance of 151.19 Feet to a point for a corner of this Tract; • North 37°22'07" West, a distance of 225.64 Feet to a point for a corner of this Tract and the beginning of a circular curve to the Right, having a delta of 71°42'01", a radius of 527.86 Feet, an arc length of 660.56 Feet,and a chord which bears North 02°51'40"East a distance of 618.29 Feet; • With said circular curve to the Right, a distance of 660.56 Feet for a corner of this Tract; • North 47°24'20" East, a distance of 149.01 Feet to a point for a point at the intersection of the Northeast Right-of-Way line of Burleson Street and the Southeast Right-of-Way line of Rincon Road and for a corner of this Tract; • South 58°19'56" East, with said Northeast Right-of-Way line of Burleson Street, a distance of 679.38 Feet to a point for a corner of this Tract; • North 31°47'42" East, a distance of 659.79 Feet to a point for a corner of this Tract; S:\Surveying\43201\B908\OFFICE\METES AND BOUNDS\FN043201 B908_EDIT.Docx Page 1 of 3 OFFICE: (361)854-3101 2725 SWANTNER DR. •CORPUS CHRISTI,TEXAS 78404 FAX(361)854-6001 www NA,.urbancng.com TBPE Firm# 145 •TBPLS Firm# 10032400 • South 58°21'36" East, a distance of 139.27 Feet to a point for a corner of this Tract; • North 31°34'36 East, generally with the centerline of Rincon Channel, a distance of 6006.31 Feet to a point in the State Submerged Lands parcel 788 for a corner of this Tract; • South 56°27'08" East, over and across State Submerged Lands parcels 788, 59, 42 and 43 a distance of 6,377.15 Feet to a point in State Submerged Lands parcel 43 with a Northing of 17192577.892 and an Easting of 1350901.872, for a corner of this Tract; • South 32°40'25" West, over and across State Submerged Lands parcels 43, 58, 59, and 59A a distance of 8,610.67 Feet to a point in State Submerged Lands parcel 59A, for a corner of this Tract; • North 85°18'07" West, over and across Submerged Lands, a distance of 4,572.50 Feet to a point for a corner of this Tract; • North 74°02'44" West, over and across Submerged Lands, a distance of 376.53 Feet to a point for a corner of this Tract; • North 28°15'59" East, over and across Submerged Lands and up Lands, a distance of 491.15 Feet to a point for a corner of this Tract; • North 36°52'49" West, a distance of 751.68 Feet to a point for a corner of this Tract and the beginning of a circular curve to the Left, having a delta of 56°58'45", a radius of 315.97 Feet, an arc length of 314.22 Feet, and a chord which bears North 66°04'42" West a distance of 301.43 Feet; • With said circular curve to the Left, a distance of 314.22 Feet to a point for a corner of this Tract; • South 88°43'24" West, a distance of 136.49 Feet to a point on the centerline of Avenue F and for a corner of this Tract; • North 04°55'02" East, with said centerline of Avenue F, a distance of 276.87 Feet, to a point for a corner of this Tract and the beginning of a circular curve to the Right,having a delta of 18°54'21", a radius of 220.19 Feet,an arc length of 72.66 Feet, and a chord which bears North 19°07'11"East a distance of 72.33 Feet; • With said circular curve to the Right, continuing with said centerline of Avenue F, a distance of 72.66 Feet to a point for a corner of this Tract; • North 26°48'19" East, continuing with said centerline of Avenue F, a distance of 71.31 Feet to a point for a corner of this Tract; • North 31°04'49" East, continuing with said centerline of Avenue F, a distance of 433.56 Feet to a point for a corner of this Tract and the beginning of a circular curve to the Left, having a delta of 48°21'30", a radius of 207.41 Feet, an arc length of 175.05 Feet, and a chord which bears North 14°22'37" East a distance of 169.90 Feet; • With said circular curve to the Left, continuing with said centerline of Avenue F, a distance of 175.05 Feet to a point for a corner of this Tract; S:\Surveying\4320I\B908\OFFICE\METES AND BOUNDS\FN04320I B908_EDIT.Docx Page 2 of 3 OFFICE: (361)854-3101 2725 SWANTNER DR. • CORPUS CHRISTI,TEXAS 78404 FAX(361)854-6001 w\A w.urbaneng.com TBPE,Firm# 145 •TBPLS Firm# 10032400 • North 03°04'08" West, continuing with said centerline of Avenue F, a distance of 223.76 Feet to a point, for the centerline intersection of said Avenue F and West Causeway Boulevard and for a corner of this Tract and the beginning of a circular curve to the Left, having a delta of 52°56'41", a radius of 1269.76 Feet, an arc length of 1173.33 Feet, and a chord which bears North 58°43'14" East a distance of 1132.03 Feet; Thence, with said circular curve to the Left and said centerline of said West Causeway Boulevard, a distance of 1173.33 Feet to the point of Beginning, containing 1,423 Acres (61,984,040 Sq.Ft.) of Land more or less; Grid Bearings and Distances shown hereon are referenced to the Texas Coordinate System of 1983,Texas South Zone 4205, and are based on the North American Datum of 1983(2011) Epoch 2010.00. Unless this fieldnotes description, including preamble, seal and signature, appears in its entirety, in its original form, surveyor assumes no responsibility for its accuracy. Also reference accompanying sketch of tract described herein. This document was prepared under 22 TAC 663.21, does not reflect the results of an on the ground survey, and is not to be used to convey or establish interests in real property except those rights and interests implied or established by the creation or reconfiguration of the boundary of the political subdivision for which it was prepared. TIRZ boundary provided to the Surveyor by the City of Corpus Christi. URBAN ENGINEERING Dan L. Urban,R.P.L.S. License No.4710 DAN LEE URBAN ' 4710 ; ;� SBRVO S:\Surveying\43201\B908\OFFICE\METES AND BOUNDS\FN043201 B908_EDIT.Docx Page 3 of 3 OFFICE: (361)854-3101 2725 SWANTNER DR. •CORPUS CHRISTI,TEXAS 78404 FAX(361)854-6001 ww .urbaneng.com TBPE,Firm# 145 •TBPLS Firm# 10032400 0 1500 3000 4500 > 210"err ME MNIMME - = GRAPHIC SCALE Line Table 1*=1500' . S =.L 3E4R:NG DISTANCEI _ N 58'168"W 807.37' �1,,IN -2 :N 31'12'27"E 519.93' S5 _ , ..--'. p� 1 N 2'34'59"W 298 84' f4 -a 'N 58'13'03"W 151 19' 5 ;N 37'22'07"W 225.64' -5 Q�%� 'N 472420"0 149.01' •!J, _7 IS 58'19'56"E 679.38' L8 IN 31'47'42"0 659.79' ',L9 ,S 68'21'36"E 139.27' '.LII IN 28'05'59"W 3765' - 12 L11.8 36'12'59"E 7511.118' IL12.8 76'52'49"W 751.68' 8121 1L13 S 68'43'24 w 136 49' y- 11_14 N 04'55'02 0 276.87' �+ ` / 'L15 IN 26'48'19"0171.31' xP F / iL15 31'04'49"E 433.56' 4� No. 43 IL17 IN 03'04'08"WI223.76' / Curve Table j - ' 4 rs«7sn err - \ (CURVE-ARC LENGTH RADIUS DELTA ANLL,CHORD 3EARINGICHORD LENGTH C1 660.56' 527.86' 71'42'01" N 02'5''40"E 618.29' 1C2 314.22' ,315.97'156'58'45" N 6E04'42"W 301 43' (� C3 2.66' 22019" 18'54'21" .V '9'07'11"E 72.33' C4 175.05' 207.41' 46'21'30" v x'22'37 169.90' 9' 05 1173.33' 1269.76',52'56'41" s. 58'43'14"0 1132.03' 4 1423 Acres Exhibit B G (61.984.040 Sa.Ft.) / uA • 454 5 Acres of Lana (AOaroximc:ei „o" Sketch to Accompany 968.3 Acres of Water (Approximate) ir 4/ Fieldnotes, for o 1,423 Acre Tract of Land situated Point at ee9tinkq e� between the Corpus Christi Shipping Channel and Nueces .-,.de1 s.,s_ -191009.rwl ABay, over and across a portion of land commonly J PORT OF CORPUS known as North Beach, Corpus Christi Bay, Nueces CHRISTI ' r' +' 9' Rincon Channel and Corpus Christi Shipping Channel 9 Nueces County. Texas. A ,. CZ " /1' L1 o DATE: Aub 26, 2019 I L MR BA PI SCALE: 1 =1500' N 8S1Q'p7' ' n 4572.50. IA JOB NO.: 43201,B9,08 ENGINEERING SHEET: 1 OF 1 r3111.8•424•1 ..a....m DRAWN BY: BDL urbansurveyl Ourbaneng.corn 02019 by Urban Engineering REINVESTMENT ZONE PROJECT PLAN AND FINANCING PLAN Tax Increment Reinvestment Zone #4 NORTH BEACH • , CORPUS CHRISTI, TEXAS 0 1500 3000 4503 va�swr Nc ?98 GRAPHIC SCALE ;� r=1500' S t 402: �J b .°T 4.01 ` ` ?A., 1423 Acres C. {61.984.040 SQ.Ft.i e� iL u I -iii n r ...Sr - I - r , -iii u r Pant �1 Byinrinq ti� qr T F ,.r. •, 4 Hin • 0 • y a 4 e V N &Tutorw 4572.50. n 9,.. November 2019 November 18, 2019 TABLE OF CONTENTS TABLE OF CONTENTS INTRODUCTION 1 Criteria for Zone Creation 1 Vision for North Beach 2 Anticipated Zone Role in North Beach Improvements 2 PROJECT PLAN 3 Existing Uses and Conditions/ Boundaries §311.011(b)(1) 3 Exhibit A -Zone Boundaries and Land Use 3 Exhibit 8.1 -Existing Land Use 4 Exhibit 8.2-Existing Property Designation 5 Exhibit 8.3-Existing City Limits, City Owned, Port Owned& Proposed TIRZ Parcels 6 Exhibit C- Legal Description of the Zone 7 Municipal Ordinances §311.011(b)(2) 10 City Planned Improvements (Non-Project Costs) §311.011(b)(3) 11 Relocation §311.011(b)(4) 12 REINVESTMENT ZONE FINANCING PLAN 13 Estimated Project Cost Description §311.011(c)(1) and Kind, Number, and Location of TIRZ Improvements §311.011(c)(2) 13 Economic Feasibility Study§311.011(c)(3) 16 Estimate of Bonded Indebtedness §311.011(c)(4) 16 Timing of Incurring Costs or Monetary Obligation §311.011(c)(5) 16 Method of Financing and Sources of Revenue §311.011(c)(6) 16 Sources of Revenue 16 Current Appraised Value §311.011(c)(7) 19 Estimated Captured Appraised Value §311.011(c)(8) 19 Duration of the Zone§311.011(c)(9) 19 Appendices 20 AppendixA—Economic Feasibility Study §311.011(c)(3) November 18, 2019 INTRODUCTION The City of Corpus Christi is proposing to create a Tax Increment Reinvestment Zone or TIRZ (hereafter referred to as the "Zone") over a portion of the city that includes the city's North Beach area along the Bayfront from the Rincon Channel at the north end, south to the USS Lexington, adjacent to the Texas State Aquarium, and west to the Port of Corpus Christi. Criteria for Zone Creation The area within the Zone qualifies for a TIRZ because it suffers from economic stagnation, inadequate infrastructure, and deteriorating properties. Without intervention by the public sector, private market forces will not be sufficient to generate significant development and redevelopment. Conditions meeting the criteria of the Tax Code of the State of Texas, Chapter 311, Section 005 for reinvestment zone designation include: • A substantial number of substandard, slum,deteriorated, or deteriorating structures; • The predominance of defective or inadequate sidewalk or street layout; • Unsanitary or unsafe conditions; • The deterioration of site or other improvements; and • Conditions that endanger life or property by fire or other cause. According to the language of Chapter 311,these conditions must"substantially arrest or impair the sound growth of the municipality or county creating the zone, retard the provision of housing accommodations, or constitute an economic or social liability and be a menace to the public health,safety, morals,or welfare in its present condition and use." The existing conditions in the North Beach area of Corpus Christi hamper investment in residential, retail and hospitality-related property improvements,as outlined in the portions of the Downtown Area Development Plan (DAPD) Residential Market Analysis relevant to North Beach. The conditions outlined above will not be overcome or corrected without significant intervention and assistance from the public sector,therefore satisfying the general criteria for creation of the Zone. November 18, 2019 1 I - _ _ - Vision for North Beach Over 800,000 people visit the Texas State Aquarium and USS Lexington on North Beach each year. Each of those visitors drives through areas with frequent flooding and blighted as well as vacant properties.Corpus Christi's first impression to over 800,000 people each year is largely a pathway of deferred maintenance, disrepair, and unimproved properties on the way to the beautifully maintained and exciting Texas State Aquarium and USS Lexington. In recent years,the new Harbor Bridge construction has changed the entrance and exit ramps to and from North Beach. These changes will have an enormous impact on access to and from North Beach and its ability to remain the most visited location in all of the Coastal Bend area. The completion of the Harbor Bridge, and demolition of the old bridge, will spur new opportunities for North Beach revitalization. The proposed Zone can directly aid in the realization of this vision while addressing the deficiencies and challenges outlined above. The North Beach Area should have very well maintained infrastructure and public spaces including medians, right of ways, beaches and parks. The North Beach TIRZ could participate in contributing to a high level of proactive maintenance ensuring a clean residential, commercial and tourist community. Anticipated Zone Role in North Beach Improvements The DAPD Analysis of Residential Market Potential,the 2011 North Beach Development Plan and the 2018 North Beach Redevelopment Area Specific Plan indicate the nature of the intervention and assistance needed to spur economic growth in different areas of the Zone. Flooding, vacant properties, the aging of existing development, inadequate public infrastructure and facilities together depress the viability of new development and redevelopment in North Beach. However, continued investment by the Texas State Aquarium, changes brought by the new Harbor Bridge, new multi-family construction, new single-family homes, and the City's commitment to solving flooding issues and to make public amenity improvements are a positive indicator for North Beach. The primary functions of the zone will be to support: • Infrastructure Projects • Maintenance Projects • Development Incentives • Administration of the Zone The zone is expected to be one of a variety of planned funding sources and programs that will be acting in concert to accomplish a transformed public environment in North Beach. By improving and maintaining public spaces with a high level of service, plus increasing density through parking structure, the zone and the other projects will encourage the development of new land uses and the redevelopment or rehabilitation of existing uses. The intended result is that North Beach will become a vibrant and economically vibrant urban waterfront district with a variety of tourist, entertainment, residential, retail, and lodging uses, sending a strong first impression to nearly one million annual visitors to Corpus Christi. November 18, 2019 2 I _ - _ - PROJECT PLAN Existing Uses and Conditions / Boundaries §311.011(b)(1) The Zone includes approximately 1,423 Exhibit A-Zone Boundaries acres(454.5 Acres of Land;968.3 Acres of Water) wholly within the City of Corpus Christi. Its boundaries encompass all of the North Beach area east of the Port of Corpus Christi land,as shown in Exhibit A. A variety of land uses, shown in maps in Exhibit B and described generally below, t tet_ are present within the proposed TIRZ. A i , P legal description of the Zone isgiven in • ��c ,.� 4 g P . i' . Exhibit C. e- • The Texas State Aquarium and the USS I! ; Lexington, in the southern area of North � �t"- Beach, draw more than 800,000 tourists ait . and visitors annually, combined. • Removing the Burleson exit leaves only one northbound exit from the new r . r Harbor Bridge, impacting accessibility to 'ett these two heavily visited attractions. t ' To the north, the zone transitions to anfl area of tourist retail, restaurants, hotels, � � rr , �l vacant buildings and unimproved land. , yLitgend 0 TIRZ The beach runs along the eastern portion NCril em of the zone. Further north along the oZS o Ask— __ beach are multi-story condominiums,city owned Surfside Park, a small number of single-family homes, and a popular city park, Dolphin Park. If funding is determined to be appropriate and TIRZ and City Council choose to fund them,the off shore area allows for the potential inclusion of breakwater barriers. Central North Beach has a linear right of way,formerly a rail easement,owned by the City of Corpus Christi. Timon and Surfside Boulevards run along its edges, acting as a main thoroughfare through North Beach. This right of way is the location of a proposed drainage solution, a canal to mitigate flooding. This North Beach drainage solution could potentially improve stormwater flow on the peninsula. Residents in the northwest portion of North Beach often experience difficulty making the turnaround at the north end of North Beach under the causeway due to flooding. The new Harbor Bridge,TxDOT and the Port of Corpus Christi border the zone to the west. November 18, 2019 3 I - - - Exhibit B.1: Existing Uses Throughout the Zone 1 -/: / , \ ,,. r I. t la J . /4.,.'11', , ' ;01,- AI . It„. 44 . , ". st. r I 1- ,, z. .. A P i i N„ v r ' ,r , r J Proposed T1RZ#4 G_ Limits ' • ,_ i. �', Q Proposed TIRZ 44 Boundary i• ' , . .,gyp +. ,. Current Land Use M ey . L water a !1' 't‘ , .; 1 ' ConsP-es Yk-r, - 1 rP Drainage Comaor y —µI Radroad Rignt-af-Way r' f / `K f 4 Vacant I �� _ Estate Res yLow Density Res Medium Density Res Y °�* IF IF 4. J - lbgh Densrty Res Moble 1-ome • 4.: Park �,.„ . -. '?; Public Sem-Public 6" PrnFesslonal Office ` h .f 1111Commeraal ♦ Lgnt incus iai .. avy Ir'dus7lal 0 0_1 .•,. . 0 5 &..:�:a e i l=; lyd..j:,a:?.,e, l'.� ..• >�.c -_ . �� ^.�...! +'+a„Lbarik wra.w'p.Cir tiw i. (.l. u.uori ji November 12, 2019 4 Exhibit B.2 Criteria for the Zone 1 ./4110R` I ./,. A P i 1 ?' ; { 4 . ; ,.48. , / ." A. • I . .. . / , . , 6 Ilk :r • viaamminguit fry + i. it • a � ! r y, - a 10 P.. Proposed TIRZ#4 L i j City Limits iIIIIIII Proposed TIRZ#4 Boundary Properties s ow IVAp. . •lirt \ � l� Designation N� # EVERYTHING ELSE z' %,‘ `, EXCLUDED RESIDENTIAL fir _ _ �,I _ `r1.l ._�, J yr',iii, November 12, 2019 5 1 _ _ Exhibit B.3 Parcels / , �t•�, er- N 1 '' / L ' .// . Ar - , MU/ / ./ ,A. ''..„/ NP. 11.- , r ,N \'' i � iT , A / •11, . ' • '• • ..---ft Ippi i - r 140 $41 f r t , / '''''-.,1,,,_ • 4444P . , A. . / 46, .z...... ; ,.. .404 -�.1 _ii . . f R 1 ... .. ,..., • '�a `' 1 4 O 4° , ys / 2,. RIA. '` f II ifr. ' , r Legend Proposed TIRZ#d Boundary 7„/ i1 City Limits,;2., ii .. Port Properties \ I City Owned Properties wr L ,4( `'� In Proposed TIRZ4 Parcels \A,i t b 1 0 1 •• 0.5 �� .e.arrs�;.f"_T«T2l,;:e �'��;.TraidP?a. r- 1.-. 7T'-•aJ Tir,i-f=� fir; Ql .�t�l „sa r$lensiel ellitl�r:•• November 12, 2019 6 Exhibit C- Legal Description of the Zone LEURBAN ENGINEERING Job No.43201.139.08 August 26,2019 Exhibit A 1,423 Acre North Beach Tax Increment Reinvestment Zone(TIRZ) STATE OF TEXAS COUNTY OF MINCES Fieldnotes,for a 1,423 Acre Tract of Land(Not based on an on the ground Survey),situated between the Corpus Christi Shipping Channel and Nueces Bay,over and across a portion of land commonly known as North Beach.Corpus Christi Bay,Nueces Bay.Rincon Channel and Corpus Christi Shipping Channel in Nueces County,Texas;the said 1,423 Acre Tract being more fully described as follows: Beginning,at a point with a Northing of 17188715.765 and an Easting of 1342004.769, for a corner of this Tract and the point of Beginning; Thence,with distances and bearings as follows: • North 58°16'18"West.a distance of 807.37 Feet to a point for a corner of this Tract; • North 31°12'2T'East.a distance of 519.93 Feet to a point for a corner of this Tract: • North 12°34'59"West,a distance of 298.84 Feet to a point for a corner of this Tract: • North 58°13'03"West,a distance of 151.19 Feet to a point for a corner of this Tract; • North 37°22'07" West, a distance of 225.64 Feet to a point for a corner of this Tract and the beginning of a circular curve to the Right.having a delta of 71°42'01",a radius of 527.86 Feet,an arc length of 660.56 Feet,and a chord which bears North 02°51'40"East a distance of 618.29 Feet; • With said circular curve to the Right,a distance of 660.56 Feet for a corner of this Tract; • North 47°24'20" East, a distance of 119.01 Feet to a point for a point at the intersection of the Northeast Right-of-Way line of Burleson Street and the Southeast Right-of-Way line of Rincon Road and for a corner of this Tract; • South 58°19'56" East, with said Northeast Right-of-Way line of Burleson Street. a distance of 679.38 Feet to a point for a corner of this Tract; • North 31°47'42"East,a distance of 659.79 Feet to a point for a eomcr of this Tract; S:\SurveyingW320111390 OFFIC'E\MErES AND BOUNDS\FN043201 B908_EDtT.Doe Page 1 oh 3 OFFICE:(3611854-3101 2725 SWANTNER DR.•CORPUS CHRISTI,TEXAS 78404 FAX(361)854-6001 n.vc urban,ng corn TBPE Firm 0 145•TBPLS Firm N 10032400 November 12, 2019 7 page1e • South 58°21'36"East,a distance of 139.27 Feet to a point for a corner of this Tract; • North 31°34'36 East,generally with the centerline of Rincon Channel,a distance of 6006.31 Feet to a point in the State Submerged Lands parcel 788 for a corner of this Tract; • South 56°27'08" East, over and across State Submerged Lands parcels 788. 59. 42 and 43 a distance of 6,377.15 Feet to a point in State Submerged Lands parcel 43 with a Northing of 17192577.892 and an Easting of 1350901.872. for a corner of this Tract; • South 32°40'25" West, over and across State Submerged Lands parcels 43, 58. 59, and 59A a distance of 8,610.67 Feet to a point in State Submerged Lands parcel 59A, for a corner of this Tract; • North 85°18'07" West,over and across Submerged Lands, a distance of 4,572.50 Feet to a point for a corner of this Tract; • North 74°02'44"West,over and across Submerged Lands,a distance of 376.53 Feet to a point for a corner of this Tract; • North 2815'59"East,over and across Submerged Lands and up Lands,a distance of 491.15 Feet to a point for a corner of this Tract; • North 36°52'49" West, a distance of 751.68 Feet to a point for a corner of this Tract and the beginning of a circular curve to the Left,having a delta of 56°58'45", a radius of 315.97 Feet,an arc length of 314.22 Feet, and a chord which bears North 66°04'42" West a distance of 301.43 Feet; • With said circular curve to the Left,a distance of 314.22 Feet to a point for a corner of this Tract: • South 88°43'24" West,a distance of 136.49 Feet to a point on the centerline of Avenue F and for a corner of this Tract; • North 04°55'02"East,with said centerline of Avenue F.a distance of 276.87 Feet,to a point for a (miner of this Tract and the beginning of a circular curve to the Right,having a delta of 18°54'21". a radius of 220.19 Feet,an arc length of 72.66 Feet,and a chord which bears North 19°07'1 l"East a distance of 72.33 Feet; • With said circular curve to the Right, continuing with said centerline of Avenue F, a distance of 72.66 Feet to a point for a corner of this Tract; • North 26°48'19" East. continuing with said centerline of Avenue F, a distance of 71.31 Feet to a point for a corner of this Tract; • North 31°04'49"East,continuing with said centerline of Avenue F,a distance of 433.56 Feet to a point for a corner of this Tract and the beginning of a circular curve to the Left,having a delta of 48°21'30". a radius of 207.41 Feet,an arc length of 175.05 Feet, and a chord which bears North 14°22'37"East a distance of 169.90 Feet; • With said circular curve to the Left, continuing with said centerline of Avenue F. a distance of 175.05 Feet to a point for a corner of this Tract; S:1SutveymgW32011B908lOFF10E\METES AND BOUNDSUN043201 B908_EDIT Docx Page 2 of 3 OFFICE:(3611854-3101 2725 SWANTNER DR•CORPUS CHRISTI.TEXAS 78404 FAX(361)854-6001 ++%..urhuneng_tom TBPE,Firm# 145 •TBPLS Firm# 10032400 November 12, 2019 8 I g e • North 03°04'08"West,continuing with said centerline of Avenue F.a distance of 223.76 Feet to a point, for the centerline intersection of said Avenue F and West Causeway Boulevard and for a corner of this Tract and the beginning of a circular curve to the Left,having a delta of 52°56'4I". a radius of 1269.76 Feet,an arc length of 1173.33 Feet,and a chord which bears North 58°43'14" East a distance of 1132.03 Feet: Thence. with said circular curve to the Left and said centerline of said West Causeway Boulevard, a distance of 1173.33 Feet to the point of Beginning,containing 1,423 Acres (61.984,040 Sq.Ft.)of Land more or less; Grid Bearings and Distances shown hereon are referenced to the Texas Coordinate System of 1983,Texas South Zone 4205,and arc based on the North American Datum of 1983(2011)Epoch 2010.00. Unless this fieldnotes description, including preamble, seal and signature, appears in its entirety, in its original form, surveyor assumes no responsibility for its accuracy.Also reference accompanying sketch of tract described herein. This document was prepared under 22 TAC 663.21,does not reflect the results of an on the ground survey, and is not to be used to convey or establish interests in real property except those rights and interests implied or established by the creation or reconfiguration of the boundary of the political subdivision for which it was prepared. TIRZ boundary provided to the Surveyor by the City of Corpus Christi. URBAN ENGINEERING Dan L.Urban.RP.L.S. License No.4710 s�\ QQ L'ANLEEUFIBAN .. % 4710 P.; v S:.Surveying 432011B908\OFFICE\METES AND BOUNDSIFN04320113908_EDIT.Docx Page 3 of 3 OFFICE:(361)854-3101 2725 SWANTNER DR.•CORPUS CHRISTI,TEXAS 78404 FAX(361)854.6001 «w.urhanciiI oui TBPE,Firm#145•TBPLS Firm#10032400 November 12, 2019 9 I0 1500 3000 4500 .Nees II/ OM In GRAPHIC SCALE Line Table 1•=1500' m Ai.- L,F-,..• ›.4,. p.P ea 1 F L . o• J. _ Curve Table Y �• T Q1R60.m M/ I. _ '� I -ka, 1 R 1423 Acres Exhibit B G (61.984.040 SO.Ft.1 e� y - L•i - Sketch ro Accompany 4y ♦8 Fi.ldnots.fora 1.423 Acts Tract of Land situated - Rint a Beg 'd between the Carpus Christi Shipping Chann.1 Num. Nu 9.•? Bay.over and across a portion of land commonly T F n' r kn..an as Norma Bch.Corpus Christi Bay.Hums Bay, H ITI r %ncChant*and Carpus Chnati Shipping Channel'n '�" Nu.ds County.Texas_ b�r N .p s( LI DATE: Auy 26. 2019 mom SCALE: 1=1500 .7.- , N 8518OT 1p 4572.0• JOB NO.: 43201.89.08 cow.aelm ENGINEERING SHEET: 1 OF 1 Amor .L...,., 21:..0, DRAWN BY: BDL arbonsurv.yl Vbvi.n9.cem 02019 by Urban Engineering Municipal Ordinances §311.011(b)(2) The City is not contemplating any specific changes to municipal ordinances as part of any projects to be undertaken by the Zone. November 12, 2019 10 I = -. City Planned Improvements (Non-Project Costs) §311.011(b)(3) It is expected that the City or Corpus Christi, Nueces County, and other public agencies will participate in the rehabilitation of existing and development of new public facilities and infrastructure within the Zone. In addition, various nonprofit organizations, private citizens and developers may also consider efforts to remediate environmental and safety deficiencies on existing private properties. The City of Corpus Christi has identified about$11,882,989 million in projects planned, or just recently completed, for locations partly or wholly within the Zone intended to rehabilitate and improve existing public facilities and infrastructure. TIRZ funds may be used to assist these projects; however, the bulk of funding is anticipated to come from other sources. The table below lists some of these projects. Note: Amounts may not add perfectly due to rounding Current City Planned Improvements (Non-Project Costs) Project Source Status Projected Cost Gas US 181 at Burleson Rev Bond Complete $557,788 Due to conflicts with the new bridge construction there will be 860 feet of 6"steel gas line replacement located in the Burleson St. and US181 intersection. Breakwater Ave..at W Causeway Blvd. Rev Bond Complete $202,883 Due to conflicts with the new bridge construction there will be 425 feet of 2"steel gas line replacement located in the East Causeway Blvd.and Plum St.area. Streets North Beach Area Road Improvements&Area Beautification Bond 2012 Substantially $801,500 Includes pavement restoration to North Shoreline Boulevard,new Streets Complete wastewater and water lines on North Shoreline Boulevard,and Storm Water cleaning existing stormwater and wastewater pipes and manholes Wastewater on Breakwater Avenue and Coastal Avenue. Water North Beach Breakwater Plaza,North Shoreline Repair and Bond 2012 Substantially $1,623,900 Enhancement Complete Includes new curb and gutter,sidewalks,ADA ramps,markings, signage,seating,on-street parking enhancements and illumination improvements to North Shoreline Boulevard.Improvements also include a paved surface to Breakwater Plaza and cleaning existing stormwater pipes and manholes on North Shoreline Boulevard. Beach Avenue(E.Causeway Blvd.to Dead End at Gulfbreeze Bond 2018 In planning $1,000,000 Blvd.) phase Reconstruction of existing 2-lane roadway with new pavement, curb&gutter,sidewalks,ADA compliant curb ramps,signage, pavement markings and illumination. Includes bike mobility improvements per the adopted MPO bicycle mobility plan and approved in North Beach Area Plan. N.Beach Area Primary Access(Beach&Timon/Surfside Bond 2018 In planning $1,250,000 Intersection) phase Design and construction of a new curved access road from E. Causeway Blvd.onto Timon Blvd.with a new traffic circle at intersection of Timon/Surfside and Beach roads. Provides a new November 12, 2019 11 route for the single access road into North Beach from the new Harbor Bridge.Traffic circle connects Timon/Surfside and Beach and converts Beach Avenue to one-way from Surfside to E. Causeway Blvd. New Traffic circle also allows development of new gateway feature for the entry into North Beach approved in the North Beach Area Plan. N.Beach Gulfspray Ave.Pedestrian/Bike Access(Beach Access to Bond 2018 In planning $300,000 E.Causeway Blvd.) phase Pedestrian and bicycle infrastructure improvements to create a new train for improved access from Harbor Bridge and the beach approved in the North Beach Area Plan. N.Beach Coastal Protection(Breakwater Barrier) Bond 2018 In planning $250,000 Preliminary engineering and permitting with USACE,GLO, Port of phase Corpus Christi and other agencies for the design and construction of new breakwater barriers to mitigate beach erosion and coastal flooding as approved in the North Beach Area Plan. Water US 181-Beach Ave to Elm St Rev Bond 90% $3,715,322 Due to conflicts with the new bridge construction there will be complete by 3000 feet of 12"waterline replacement,600 feet of 16"waterline TxDOT replacement and 800 feet of 6"waterline replacement to maintain water quality.The work is concentrated on the east side of US181 between Reef Ave.and Burleson St. Breakwater-W.Causeway Blvd Rev Bond 90% $1,021,191 Due to conflicts with the new bridge construction there will be 500 complete by feet of 12"waterline replacement to maintain water quality.The TxDOT work is located on Breakwater Ave. between Avenue F and East Causeway Blvd. Wastewater Due to conflicts with the new bridge construction there will be 500 feet of 4"wastewater force main replacement and abandonment of a total of 1000 feet of 6"and 8"gravity sewer main.This work is located west side of the existing US181 between Burleson St.and Avenue F. US 181 at Plum St. Rev Bond 90% $201,649 complete by TxDOT US 181 at E Walnut St Rev Bond 90% $446,815 complete by TxDOT Burleson St from US 181 SBFR to Seagull Rev Bond 90% $411,941 complete by TxDOT Parks and Recreation North Beach Historic Plaza Hotel Dec 2019 $100,000 Placement and installation of a series of historical panels in North Occupancy Tax Beach plaza currently being constructed as part of Bond 2012. Total $11,882,989 Relocation §311.011(b)(4) No relocation of existing residents is anticipated to be required as a result of the Zone's projects. November 12, 2019 12 REINVESTMENT ZONE FINANCING PLAN Estimated Project Cost Description §311.011(c)(1) and Kind, Number, and Location of TIRZ Improvements §311.011(c)(2) The Zone is anticipated to engage in projects that will support development and economic activity as well as contribute to the image and attractiveness of North Beach Corpus Christi on a local, regional, and national level. In addition,the Zone will pay the costs of Zone creation and ongoing administration. The following are project cost estimates and should not be construed as definitive costs for the listed projects (not listed in priority order). 1. INFRASTRUCTURE PROJECTS: $14,665,943 A. Wayfinding Infrastructure — The Zone may participate in proposed construction of gateway features with wayfinding throughout North Beach. It may also build multi-use paths to major tourists destinations. B. Park Improvements—The Zone may contribute to enhancements to Dolphin Park, Surfside Park, and Kiwanis and construct a North Beach birding park (Eco Park). C. Demolition of Blighted Structures—Many older vacant or underutilized buildings within the Zone are not economically feasible to reuse because they contain environmentally undesirable or unsafe elements that present a public safety hazard. The Zone may provide assistance to property owners and developers who must remediate or demolish such structures in order to develop or redevelop. D. Public Safety— With the purpose of increasing safety and security within the Zone,the Zone will provide support for security cameras and associated costs or other one-time security equipment and system devices. E. Drainage- The Zone may contribute financially to addressing infrastructure improvements that would reduce tidal and stormwater related flooding. F. Residential Streets- In November 2016, the voters approved a Charter Revision to Article VIII. Taxation and Bonds, Section 1. Taxation of the City's Charter which authorized the City Council to levy, assess and collect a property tax not to exceed six cents per $100 valuation for residential street reconstruction to be gradually implemented at a rate not to exceed two cents per $100 valuation per year(i.e. 2+2+2 = 6 cents).The City Council exercised that authority in FY 2018 and in FY 2019. The additional four cents and potential additional two cents must be used for residential streets as approved by the residents of Corpus Christi on November 8, 2016. City Charter Art. VIII, Sec. 1(c): (c)A dedicated fund to be used solely for residential street reconstruction is established, and the city council is authorized each year to levy, assess and collect a property tax not to exceed six cents ($0.06) per one hundred dollars ($100.00) of assessed value for the purpose of residential street November 12, 2019 13 I - _ _ reconstruction to be deposited in such fund. Said taxes shall be used solely for the purpose of residential street reconstruction, including associated architectural, engineering and utility costs, and shall be implemented gradually at a rate not to exceed two cents ($0.02) per one hundred dollars ($100.00) of assessed value per year. For the purposes of this provision, the term "reconstruction"is defined as removing all or a significant portion of the pavement material and replacing it with new or recycled materials. The dedicated fund established by this subsection (c) may not be used for payment of debt service. 2. MAINTENANCE PROJECTS: $1,587,681 A. North Beach Public Spaces Beautification & Revitalization Programs & Services -The Zone may contribute 5% of the total incremental ad valorem taxes collected per year in the Zone to beautification projects including the creation of or enhancements to common areas, roadway and median streetscapes, pedestrian landscapes, beach renourishment and beautification,wayfinding signage, lighting, public facilities and any services relating to such program. 3. INCENTIVES: $13,250,000 All Development Incentives are approved at the discretion of the TIRZ Board. A. Project Specific Development Agreement- In situations where higher development costs create a financing gap, TIRZ #4 can provide assistance to property owners or developers through a Development Agreement for reimbursement of net ad valorem new tax increment on new developments, including mixed-use developments. A pro-forma is required to qualify for up to 75% of the qualifying tax increment for 10 years, unless the gap suggests that additional time is required. • The total reimbursement by the TIRZ#4 will not exceed 20% of the total project cost if a development is at least 20,000 square feet or creating 100 or more new residential units. • The total reimbursement by the TIRZ#4 will not exceed 10%of the total project cost if a development is at least 5,000 square feet but less than 20,000 square feet or creating at least 25 but less than 100 new residential units. If further gap exists, staff will undertake additional third-party review to justify any additional reimbursement up to 95% of the qualifying tax increment for 10 years, unless the gap suggests that additional time is required based on the "but, for" principle.The qualifying cost elements for this Project Specific Development Agreement include those listed in the paragraph above and also: • Environmental Remediation/Code Compliance • Historic Preservation • Structured Parking, including availability for public parking • Urban Design/Landscaping • Public Improvements/Utilities, including drainage To incent developers to build more than one project on North Beach,the TIRZ Board will consider reimbursement of net ad valorem new tax increment on all of the developer's properties within the TIRZ boundary. November 12, 2019 14 I P a g e B. North Beach Property Improvement Program — This grant will support and encourage private investment in the existing structures and facilities already built on North Beach. The Zone will match approved property improvements funded by the property owners. The Zone will consider a match of 50/50 (Property Owner/TIRZ#4), depending upon the extent to which the scope of the project meets the priorities of the Zone. C. North Beach Living Initiative— In order to stimulate the development of North Beach and quickly build residential density in the area,the Zone will establish a grant that will provide a $10,000 per dwelling unit reimbursement for multi-family developments of over 10 units. Any applicant awarded a grant must obtain a Building Permit for the entirety of such project(s) within six (6) months of award of such grant. If a Building Permit is not obtained within the six- month time period,then the grant will be forfeited. 4. ADMINISTRATIVE COSTS:$2,250,000 A. Creation—($250,000)Zone shall reimburse the City for City incurred expenses related to the costs of creating the Zone. B. Administration—($2,000,000) Zone funds shall pay for the City's costs of ongoing administration of the Zone including but not limited to accounting, legal services, document production and maintenance, and other administrative costs. These costs are estimated at$100,000 per year for the 20-year life of the Zone. Project Costs are Estimated as Follows: Infrastructure, Maintenance and Incentives $29,503,624 Administrative Costs $2,250,000 TOTAL $ 31,753,624 Economic Feasibility Study §311.011(c)(3) Several market and economic feasibility studies for the Zone have been completed. The MJB Consulting "Retail Market Analysis and Strategy" and the Zimmerman/Volk Associates "Office, Retail, and Hotel Market Assessment" are provided under separate cover. In addition, a feasibility analysis by Landmark Renewal was completed in August 2019,which is included in Appendix A to this Plan. November 12, 2019 15 I Estimate of Bonded Indebtedness §311.011(c)(4) It is not initially anticipated that the Zone will issue bonded debt; instead the Zone's projects will be funded on a pay-as-you-go basis or utilize other financing methods. However, if the annual Zone revenue and available non-bonded debt financing are insufficient to address the needs of the Zone,the Zone may issue bonded debt commensurate with the specific project costs under consideration and anticipated annual Zone revenues to support debt service payments. Timing of Incurring Costs or Monetary Obligation §311.011(c)(5) Costs will be incurred over the life of the Zone based on its Board of Directors' identification of priority activities and projects, opportunities for implementation, and available revenues to sustain a pay-as-you- go project expenditure approach or a bonded debt issuance. Method of Financing and Sources of Revenue §311.011(c)(6) Methods of financing. The Zone will initially take a pay-as-you-go approach to financing projects that could utilize the following methods: • Cash funds generated from existing property value increment, • Short term anticipation notes or other debt issued by private financial institutions based on projected property tax increment to be generated from taxable development under construction at the time of debt issuance, and • Developer cash reimbursement agreements where the revenues from the Developer's property tax increment compensate a developer for fronting eligible expenditures in a specific taxable project after the project is completed. If future Zone revenues to support debt service payments are anticipated,the Zone may also issue bonded debt, the term of which will not extend past the expected life of the Zone. Sources of revenue. The primary source of revenue for the Zone will be funds from the contributed property tax collections of the City of Corpus Christi and Nueces County on the taxable property value increment within the Zone. It is currently projected that the County will agree to participate in funding the Zone with 100%of the incremental property taxes collected over the life of the Zone and that the City will participate in the funding of the Zone based on the table below. If City reaches $20 million, then the City shall cease contributions to the increment. It is anticipated that Del Mar College will be a participant in the TIRZ. TABLE-TIRZ Contributions Taxing Entity Maximum Dollar Contribution Increment Percentage Tax Years} City of Corpus Christi $20,000,000 100% 2019 through 2028 75% 2029 through 2038 Nueces County None 100% 2019 through 2038 November 12, 2019 16 I = The assessed value base year for the City of Corpus Christi and Nueces County is 2019. The projection of incremental property tax revenue contributed to the Zone is as follows: Certified Appraised Values Base value is from 2019 (January 1, 2019) taxable appraised value. Values in future years are based on current development projections. Net Taxable Values from the Certified Roll 2019 (*with estimated development) Year 3% Tax Revenue Tax Increment Total County 100% Fiscal Year ' Tax Year Values City County Total City Scaled County City Scaled FY 20 2019 60,689,500 392,214 189,101 581,316 FY 21 2020 62,510,185 403,981 194,774 598,755 11,766 5,673 17,439 FY 22 2021 64,385,491 416,100 200,617 616,718 23,886, 11,516 35,402 FY 23 2022* 140,317,055 906,819 437,211 1,344,030 514,604 248,110 762,714 i FY 24 2023 144,526,567 934,023 . 450,327, 1,384,351 541,809 261,226 803,035 FY 25 _ 2024* 187,362,364 1,210,856 583,799 1,794,654 818,641 394,697 1,213,339 FY 26 2025 200,708,235 1,297,105 625,383 1,922,488 904,891_ 436,282 1,341,172 FY 27 2026 214,686,232 1,387,440 668,937 2,056,376 995,225_ 479,835 1,475,061 FY 28 2027 229,322,271 1,482,027 714,541_ 2,196,568 1,089,813, 525,439 1,615,252 FY 29 2028 244,643,256 1,581,041 762,279 2,343,320 1,188,827 573,178 1,762,005 FY 30 2029 260,677,109 1,684,662 812,239_ 2,496,901 969,336 623,137 1,592,473 FY 31 2030 277,452,814 1,793,078_ 864,510 2,657,587 1,050,647, 675,408 1,726,056 FY32 2031 295,000,453 1,906,482 919,186 2,825,668 1,135,701 730,085 1,865,785 FY 33 2032 313,351,242 2,025,076 976,365_ 3,001,441 1,224,646 787,264 2,011,910 FY 34 2033 332,537,578 2,149,071 1,036,147_ 3,185,218 1,317,642 847,046 2,164,688 FY 35 2034 352,593,078 2,278,682 1,098,638_ 3,377,320 1,414,851_ 909,537 2,324,387 FY 36 2035 373,552,625 2,414,136 1,163,945 3,578,081 1,516,441_ 974,844 2,491,285 FY37 _ 2036 395,452,410 2,555,667 1,232,182 3,787,849 1,622,589 1,043,081 2,665,670 FY 38 2037 418,329,985 2,703,516. 1,303,466_ 4,006,982 1,733,476 1,114,365 2,847,841 FY 39 2038 442,224,308 2,857,936 1,377,918 4,235,854 1,849,292 1,188,817 3,038,108 TOTALS 32,379,912 15,611,564 47,991,477 19,924,084 11,829,540 31,753,624 According to these projections,63%of the tax increment revenues will come from the City of Corpus Christi and 37%will come from Nueces County. Revenue estimates will be monitored and adjusted annually. The 2019 tax rate applicable to the reinvestment zone is $0.957852 (or approximately $0.96) per$100 of assessed valuation, broken down as follows: City of Corpus Christi 0.646264 Nueces County 0.311588 Total 0.957852 Applying the 2019 tax rate of$0.957852 per$100 assessed valuation to the 2019 total certified roll taxable value of properties within the zone, property taxes of$581,316 are generated.This amount produced from November 12, 2019 17 the tax increment base (or the "frozen base") will continue to be allocated and paid to the taxing entities levying taxes in the zone area, based on their respective tax rates. Zone property tax contributions from the participating tax jurisdictions could be supplemented with other sources of revenue as available. These could include but are not limited to: • Grants from other local, state, and federal agencies; • Grants from private entities such as foundations; and • Joint implementation and funding agreements with other public agencies or private entities such as civic associations for specific projects. Current Appraised Value §311.011(c)(7) According to the Nueces County Appraisal District,the 2019 certified roll total assessed value for the Zone as of July 26, 2019 is$64,724,132. Due to differences in policies regarding exemptions and tax abatements, the net taxable values differ among the two jurisdictions. According to the Nueces County Appraisal District,the 2019 certified roll net taxable value for the Zone as of July 26, 2019 is$60,689,500 for the City of Corpus Christi and$59,657,026 for Nueces County. Estimated Captured Appraised Value §311.011(c)(8) The table above provides the projected schedule of taxable value increment captured by the Zone over its proposed 20-year duration. There is a column shown for each entity. Captured value projections assume a 3.0%annual value appreciation rate for existing development. In year 2022, the development currently underway on North Beach, LaVista Pointe Apartments, will be complete with an estimated future property value increase of$24 million. Additionally, there are other developments planned throughout the zone with a combined projected increase in value of$105 million. Based on calculations in the TIRZ#4 Feasibility Analysis, beginning in 2024 and continuing throughout the remaining life of the Zone,22 apartment units valued at$150,000 each and 12 condominium or townhome units valued at$300,000 each, are projected to be added to the tax rolls each year. The per unit amounts are adjusted for inflation at 3% per year. The tax increment is the amount of property taxes produced yearly during the term of the reinvestment zone on the captured appraised value.This value is the appraised value of taxable real property within the reinvestment zone which exceeds the tax increment base.The table above shows estimated TIRZ revenues over the 20 life of the zone to be as follows: City of Corpus Christi: $19,924,084 Nueces County: $11,829,540 Total $31,753,624 Duration of the Zone §311.011(c)(9) The proposed duration of the Zone is twenty years from the time of its creation. Assuming creation in 2019,the Zone would expire after 2038. November 12, 2019 18 I _ City Council may, by ordinance, extend the length of the TIRZ to allow additional time to expend funds. Appendices Appendix A — Economic Feasibility Study §311.011(c)(3) Feasibility Analysis Tax Increment Reinvestment Zone # 4 North Beach Area City of Corpus Christi, Texas August 2019 Jim Johnson, PhD Landmark Renewal November 12, 2019 19 I = I. Introduction The North Beach area of Corpus Christi,Texas, already a leading tourist destination with 800,000 visitors annually, is primed for accelerated redevelopment upon completion of the new Harbor Bridge and demolition of the old bridge. A number of planning processes have focused on the area, producing a wealth of reports including: • North Beach Development Plan (November 2011) - NBDP • Zimmerman Volk Associates: Residential Market Potential (October 2014) -ZVA • North Beach Redevelopment Area Specific Plan (February 2018) - NBRA • Downtown Area Development Plan, Corpus Christi (March 2018) - DADP In addition,the Market and Economic Feasibility Study Update for TIRZ#2 (July 2019), contains a detailed residential, retail and hotel development analysis of the Corpus Christi metropolitan statistical area (MSA) applicable in part to North Beach. The feasibility of a tax increment reinvestment zone (TIRZ) depends on whether tax increment stimulated by TIRZ improvements will cover the costs of those improvements, leaving local tax jurisdictions better off at termination of the TIRZ than they would be without a TIRZ. While some new development would occur regardless, establishing the zone provides a revenue source for public improvements that can spur additional and more intensive development than would otherwise occur. The year in which a TIRZ is established becomes its base year,with each succeeding year's incremental tax revenues pledged to a fund controlled by the zone's board of directors. Local taxing jurisdictions may contribute up to 100%of their tax increment. TIRZ revenues depend on: • Overall changes in property valuations; • Timing and value of new development; and • Loss of value from demolition of existing improvements. Once the zone has sufficient revenue, infrastructure improvements should coincide with and enable associated private investment (DADP, p. 26). This analysis assumes that TIRZ spending will be based on articulated stakeholder and planning priorities, such as the February 2018 North Beach Redevelopment Initiative Near-Term Projects and Mid-and Long-Term Projects lists. 20IPage Appendix A - Economic Feasibility Analysis II.TIRZ Revenue Projection City of Corpus Christi is expected to participate at 100%for the first ten years and at 75%for the last ten years. Nueces County is expected to participate with 100%of tax increment for the full length of the TIRZ. Base year taxable values vary slightly between jurisdictions, primarily due to differing property tax exemptions offered. Exemptions on owner-occupied residential property include homestead and the over-65 tax freeze. For purposes of these projections, we assume the effect of these exemptions will be small since most existing and new development will be commercial, including multifamily,that is ineligible for these residential exemptions. The aggregate value of single family residential property tax exemptions changes slowly over time. We assume no effect from commercial property tax abatements that could be offered by participating jurisdictions. The following projections of TIRZ revenue are based on the following assumptions: • 3%annual growth in taxable property valuations • Completion of a $24 million apartment complex, LaVista Pointe, in 2022 • New residential development in North Beach equivalent to 22 new apartment units and 12 new condominium or townhome units per year beginning in 2024 Prudence requires a conservative bias in revenue assumptions so that TIRZ spending can be reasonably planned. There is no assumption of added taxable value from retail/commercial or hotel/hospitality/tourism-related new development, despite a reasonable possibility of such investments. According to ZVA(p. 42),the residential "market is constrained in North Beach due to the additional cost of development incurred by flooding issues." In the five years since the ZVA report, no multifamily residential development has been completed. The TIRZ revenue forecast assumes that a flooding mitigation solution, such as the proposed canal (NBRI Alternative 2), is devised and implemented by the City of Corpus Christi within the next five years. While drainage improvements are unlikely to erase the additional costs of development in North Beach, it should substantially ease that market constraint, making the ZVA residential projections for North Beach realizable in the future. LaVista Pointe, a 150-unit apartment complex, is planned for completion around 2022. ZVA projects North Beach annual residential absorption over a 10-year period of 44-53 apartment units and 26-31 condominium and townhome units. Taking a middle point of those projections, or 48 apartment units 21IPage Appendix A - Economic Feasibility Analysis and 28 condo/townhome units,times 10 years, and subtracting the 150 completed apartment units, results in a projection of 330 additional apartment units and 280 new condo/townhome units after 2024. This analysis assumes that tax revenue from these units is, conservatively, spread over a 15-year period beginning in 2024, after LaVista Pointe has likely reached stabilized occupancy. Apartments are estimated at$150,000 per unit and condos and townhomes at$350,000 at the beginning of the 15-year period, with 3% inflation for new construction in each succeeding year. The 2024 per unit values discounted back to 2019 values at 3% per year equal about $129,000 per apartment unit and $300,000 per condo/townhome unit. While the TIRZ revenue forecast involves no additional retail or hotel development,TIRZ infrastructure should make high intensity tourism-oriented development appealing to the private sector. In particular, TIRZ infrastructure, a canal or other drainage solution, and right of way opened up by demolition of old the Harbor Bridge ramps,together should enable the transformative potential of high-density mixed-use development and structured parking near existing tourist attractions and associated parking needs (DADP, p. 87). "Opportunities here could include hotels, other tourism-related uses, and surface parking serving the beach and other visitor destinations." (DADP, p. 85) III. TIRZ Projects, Costs and Timing The proposed TIRZ project list is derived from the planning documents listed above and stakeholder input. Project costs are estimates derived from similar types of projects, and therefore should not be construed as definitive costs for the listed projects. The TIRZ Project Plan should contain cost estimates in categories of spending rather than for specific projects, which over the 20-year life of the zone may change conceptually and in terms of scope and extent. Among recommendations of the DADP are the following: • Restore street connections where old Harbor Bridge is removed, and provide "convenient, attractive access at Beach Ave. connecting to Surfside and Timon Blvd." (p. 32) • Build a "new multi-use path extending along Beach Ave.to the Beachwalk, and along Timon and Surfside Blvd. to the Texas State Aquarium ferry dock." (p. 36) • "Complete North Beach birding park and Timon/Surfside path within 5 years." (p. 36) • "Create a welcoming Beach Ave. gateway at the new point of entry to North Beach off the Harbor Bridge." (p. 86) 22IPage Appendix A - Economic Feasibility Analysis • "A new 'North Beach Blvd.' should also be created through the redesign of existing Timon and Surfside Blvd. with street upgrades, a new wide multi-purpose path for pedestrians and bicyclists...and planting the center median with a rich palette of native, coastal plant species." (p. 86) The North Beach TIRZ should include the following project categories: Roads and wayfinding • Beach Ave. roadway/pedestrian improvements and area beautification • Construction of Traffic Circle at the intersection of Beach Ave. with Surfside Blvd. and Timon Blvd. including gateway feature with wayfinding Parks • Dolphin Park improvements • Surfside Park improvements • Kiwanis Park and Community Center improvements Other infrastructure Demolition of blighted structures Structured parking 23IPage Appendix A - Economic Feasibility Analysis Cumulative revenue is projected as follows: Year Revenue Fiscal Year Tax Year Annual Cumulative FY 20 2019 FY 21 2020 17,439 17,439 FY 22 2021 35,402 52,842 FY 23 2022 762,714 815,556 FY 24 2023 803,035 1,618,591 FY 25 2024 1,213,339 2,831,929 FY 26 2025 1,341,172 4,173,102 FY 27 2026 1,475,061 5,648,162 FY 28 2027 1,615,252 7,263,415 FY 29 2028 1,762,005 9,025,419 FY 30 2029 1,592,473 10,617,893 FY 31 2030 1,726,056 12,343,949 FY 32 2031 1,865,785 14,209,734 FY 33 2032 2,011,910 16,221,644 FY 34 2033 2,164,688 18,386,332 FY 35 2034 2,324,387 20,710,720 FY 36 2035 2,491,285 23,202,005 FY 37 2036 2,665,670 25,867,675 FY 38 2037 2,847,841 28,715,516 FY 39 2038 3,038,108 31,753,624 TIRZ spending could begin as early as 2022 on modest improvements, but assuming a pay-as-you-go structure, major infrastructure spending would have to wait at least until approximately$2.8 million had been accumulated in 2024. A parking structure would have to wait until near the end of the TIRZ lifetime, unless a private developer could be induced to build a garage in a public-private partnership earlier than that. With the opportunity of vacated ROW from the demolished Harbor Bridge ramps, such a partnership is feasible, perhaps in conjunction with an on-street meter parking policy as envisioned by the DADP (p. 28). Exhibit D Nueces County 2019 CERTIFIED TOTALS As of Certification CO3-CITY OF CORPUS CHRISTI Property Count:410 Grand Totals 7/23/2019 4:15:57PM Lard Value Homesite: 5,421,499 Non Homesite: 24,992,584 Ag Market: 0 Timber Market: 0 Total Land (+) 30,414,083 impmeerweet Value Homesite: 14,591,818 Non Homesite: 19,942,128 Total Improvements (+) 34,533,946 Noe Regi Count Value Personal Property: 0 0 Mineral Property: 0 0 Autos: 0 0 Total Non Real (+) 0 Market Value = 64,948,029 A9 Mow Exempt Exempt Total Productivity Market: 0 0 Ag Use: 0 0 Productivity Loss (-) 0 Timber Use: 0 0 Appraised Value = 64,948,029 Productivity Loss: 0 0 Homestead Cap (-) 223,897 Assessed Value = 64,724,132 Total Exemptions Amount (-) 4,034,632 (Breakdown on Next Page) Net Taxable = 60,689,500 Freeze Assessed Tumble Actual Tax Ceiwy Count DP 68,783 0 0.00 0.00 2 OV65 3.328,046 2,318,209 12,781.56 14,519.92 14 Total 3.396,829 2,318,209 12,781.56 14,519.92 16 Freeze Taxable (-) 2,318,209 Tax Rate 0.626264 Freeze Adjusted Taxable = 58,371,291 APPROXIMATE LEVY=(FREEZE ADJUSTED TAXABLE'(TAX RATE/100))+ACTUAL TAX 378,339.94=58,371,291 *(0.626264/100)+12,781.56 Tax Increment Finance Value: 0 Tax Increment Finance Levy: 0.00 CO3/595028 Page 1 of 5 True Automation,Inc. Caller Times PART OF THE USA TODAY NETWORK Certificate of Publication NOTICE OF PUBLIC NOTICE OF PUBLIC HEARING HEARING The City of Corpus Christi is considering designating nating a The Cityof CorpusChristiis considering designating a certain area within the ju- certain area within the ju- risdiction of the City of risdiction of the City of CITY OF CORPUS CHRIS TI Corpus Christi as a Tax In- Corpus Christi as a Tax In- PO BOX 9277 crement Financing (TIF) crement Financing (TIF) Zone to be known as "Rein- Zone to be known as "Rein- vestment Zone Number vestment Zone Number CORPUS CHRISTI,TX 78469-9277 Four, City of Corpus Chris- Four, City of Corpus Chris- ti, Texas", establishing a ti, Texas", establishing a Board of Directors for the Board of Directors for the Reinvestment Zone, and Reinvestment Zone, and other matters relating other matters relating STATE OF WISCONSIN) thereto. The area to be thereto. The area to be designated includes por- designated includes por- )) tions of North Beach. The tions of North Beach. The COUNTY OF BROWN) City Council will hold a City Council will hold a public hearing on Tuesday, public hearing on Tuesday, October 15, 2019,at its reg- October 15, 2019, at its reg- I, being first duly sworn,upon oath depose and say that I ularly scheduled meeting, ularly scheduled meeting, am a legal clerk and employee of thepublisher, name) the which commences at 11:30 which commences at 11:30 i 9Y. a.m., City Hall, 1201 Leop- Cor us Christi Caller-Times,a dail newspaper ublished and St., Corpus Christi, a•m•, City Hall, 1201 Leop- P YP and St., . Corpus Christi, at Corpus Christi in said Cityand State,generallycirculated tronas. Thetmap of the lora- Texas. The map of the loca- tion tion for the proposed rein- in Aransas, Bee, Brooks, Duval,Jim Hogg,Jim Wells, vestment zone is available tion for the proposed rein- in the City Secretary's Of- vestment zone is available Kleberg, Live Oak,Nueces, Refugio,and San Patricio, five located on the first in the City Secretary's Of- Counties,and that the publication of which the annexed is a floor of City hall. At the fice located on the first hearing, interested persons floor of City hall. At the true copy,was inserted in the Corpus Christi Caller-Times are entitled to speak and hearing, interested persons on the following dates: present evidence for or are entitled to speak and against the designation. present evidence for or /s/Rebecca Huerta against the designation. City Secretary /s/Rebecca Huerta City Secretary October 8,2019 On this October 8,2019, I certify that the attached document is a true and exact copy made by the publisher: ML F (1 Legal Notice Clerk Notary Pu , tate of isconsin, ounty of Brown -, CiI'lt111 _;„ Notary Expires -4 n rn v1 n O K C./1 m Cost:$184.45 iI pp Ad No:0003833392 \\\ ,�`( F EL 7- /i, —4Customer No: 1243917 .�� t.. y ''. ���'• PUB\-\G ! • Caller TImeSFINANCE DEPARTMENT PART OF THE USA TODAY NETWORK 2019 NOV -4 PM 3: 11 Certificate of Publication NOTICE OF PUBLIC HEARING The City of Corpus Christi is considering designating a certain area within the ju- NOTICE OF PUBLIC risdiction the City of HEARING CITY OF CORPUS CHRIS TI Corpus Christi as a Tax In- The City of Corpus Christi PO BOX 9277 crement Financing (TIF) is considering designating a Zone to be known as "Rein- certain area within the iu- vestment Zone Number risdiction of the City of CORPUS CHRISTI, TX 78469-9277 Four, City of Corpus Chris- Corpus Christi as a Tax In- ti, Texas", establishing a crement Financing (TIF) Board of Directors for the Zone to be known as "Rein- Reinvestment Zone, and vestment Zone Number other matters relating Four, City of Corpus Chris- STATE OF WISCONSIN) thereto. The area to be ti, Texas", establishing a designated includes por- tions Board of Directors for the )) of North Beach. The Reinvestment Zone, and COUNTY OF BROWN) City Council will hold a other matters relating public hearing on Tuesday, thereto. The area to be October 29, 2019,at its reg- designated includes por- I,being first duly sworn, upon oath depose and say that I ularly scheduled meeting, }ions of North Beach. The which commences at 11:30 am a legal clerk and employee of the publisher, namely,the a.m., City Hall, 1201 Leop- City Council will hold a Corpus Christi Caller-Times,a daily newspaper published and St., Corpus Christi, public hearing on Tuesday, Texas. The map of the lova- October 29, 2019, at its reg- at Corpus Christi in said City and State,generally circulated tion for the proposed rein- ularly scheduled meeting, in Aransas, Bee, Brooks, Duval,Jim Hogg,Jim Wells, vestment zone is available which commences at 11:30 in the City Secretary's Of- a.m., City Hall, 1201 Leop- Kleberg, Live Oak, Nueces, Refugio,and San Patricio, fice located on the first and St., Corpus Christi, Counties,and that the publication of which the annexed is a floor of City hall. At the Texas. The map of the Ioca- true co was inserted in the Corpus Christi Caller Times hearing, interested persons Tion for the proposed rein- Py. P are entitled to speak and vestment zone is available on the following dates: present evidence for or in the City Secretary's Of- against the designation. fice located on the first /s/Rebecca Huerta floor of City hall. At the City Secretary hearing, interested persons October 22,2019 are entitled to speak and present evidence for or against the designation. On this October 22,2019, I certify that the attached /s/Rebecca Huerta document is a true and exact copy made by the publisher: City Secretary ja-Z9/11e- -‘--- ad‘k-- Legal Notice Clerk • Notary Public, a of Wis onsin,Co ty of Brown chci. v) Notary Expires Publication Cost: $184.45 :,'`J\G Ad No:0003857022 Customer No: 1243917 _ `,p-TAR y PO#: _ �.� Z qtr • P.UB�- ••' C' : 27 9 ••".c.,0 i ww '1,/, OF W\5�.`,•. IIfh�fltll�t`�'� '