HomeMy WebLinkAbout026339 RES - 07/12/2005
RESOLUTION
NOMINATING PROJECTS TO THE OFFICE OF THE GOVERNOR FOR
RENEWAL COMMUNITY COMMERCIAL REVITALIZATION DEDUCTIONS
WHEREAS, the Department of Housing and Urban Development designated the City of
Corpus Christi's Census Tracts 1,3,4, 10, and 11 as a "Renewal Community" eligible to
share in tax incentives to stimulate job growth and promote economic development;
WHEREAS, the City of Corpus Christi has requested to expand the Renewal Community to
include Census Tracts 5, 7, 13, 35, and 50 in order to foster investment and economic
development within the census tracts;
WHEREAS, the Renewal Community designation provides federal tax incentives to
businesses located in the Renewal Community;
WHEREAS, each Renewal Community can allocate $12 million of Commercial
Revitalization Deductions per year and up to $10 million per project for substantially
rehabilitated or newly constructed buildings in the Renewal Community;
WHEREAS, a business can deduct 50 percent of the building in the first year the
building is placed in service or deduct the full amount of eligible expenditures pro rata
over 10 years;
WHEREAS, each Renewal Community may make the following types of allocations of the
Commercial Revitalization expenditure amounts-an allocation in the calendar year in which
a qualified revitalization building is placed in service; a binding commitment to make an
allocation of a specified dollar amount to a qualified revitalization building in the calendar
year in which the building is placed in service, and a carryover allocation;
WHEREAS, each Renewal Community must submit to the Office of the Governor a plan for
awarding its $12 million in Commercial Revitalization Deductions ("Allocation Plan");
WHEREAS, on November 16, 2004, the City Council adopted its Allocation Plan, titled "City
of Corpus Christi Commercial Revitalization Local Strategic Plan for the City's Renewal
Community Commercial Revitalization Deduction Allocation Program" ("Local Strategic
Plan") to submit to the Office of the Governor; and
WHEREAS, pursuant to its Local Strategic Plan, the City published notice of the
Commercial Revitalization Deduction application process, received applications, and
reviewed applications for compliance with the Local Strategic Plan;
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
CORPUS CHRISTI, TEXAS,
SECTION 1. The following projects are approved by the City of Corpus Christi and
nominated for approval by the Office of the Governor to certify the following allocations of
the Commercial Revitalization Deductions totaling $2,055,000 for 2005 Allocations, and
$2,500,000 for binding commitment for 2006 Allocations:
Nov 16 resolution revitalization
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a. DRD Reel Interests, LLC, to receive a binding commitment for a 2006 Commercial
Revitalization Deduction allocation for $2,500,000 for a building located 408 N. Chaparral
Street;
b Ullah Investments, Inc., to receive allocation for $810,000 from 2005 Commercial
Revitalization Deductions for a building located at IH-37 and McKenzie Road.
c. Fox Squirrel, L.P. to receive allocation for $350,000 from 2005 Commercial
Revitalization Deductions for a building located at 304 & 306 N. Staples Street.
d. Fox Squirrel, L.P. to receive allocation for $50,000 from 2005 Commercial
Revitalization Deductions for a building located at 3709 Seagull Avenue.
e. Fox Squirrel, L.P. to receive allocation for $150,000 from 2005 Commercial
Revitalization Deductions for a building located at 1324 Mesquite.
f. Alma Garcia to receive $90,000 from 2005 Commercial Revitalization Deductions for
a building located at 1312 Leopard.
g. Bill Ward to receive allocation for $125,000 from 2005 Commercial Revitalization
Deductions for a building located at 301 S. Tancahua.
h. Mako Communications, LLC to receive allocation for $480,000 from 2005
Commercial Revitalization Deductions for a building located at 518 Peoples Street.
SECTION 2. The City Manager or his designee is authorized to execute a certification to
the Office of the Governor that the City of Corpus Christi has followed the procedure in its
Allocation Plan, and to the best of his knowledge, each application approved in this
Resolution is complete and meets the requirements of the Commercial Revitalization
Deduction Program.
ATTE~
Armando Chapa
City Secretary
APPROVED: July~, 2005
~
Lisa Aguilar
Assistant City A
For City Attorney
Commercial Revitalization Deductions.DOC
Corpus Christi, Texas
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\J Day of ,
,2005
The above resolution was passed by the followin ote:
Henry Garrett
Brent Chesney
Melody Cooper
Jerry Garcia
Bill Kelly
Rex Kinnison
John E. Marez
Jesse Noyola
Mark Scott
026339