M&C Review


COUNCIL ACTION:  Approved on 12/11/2018 

DATE: 12/11/2018 REFERENCE NO.: **G-19433 LOG NAME: 06VERIFICATION HSTE - 4TH QUARTER 2018 (BEFORE MAY 1)
CODE: G TYPE: CONSENT PUBLIC HEARING: NO
SUBJECT:  

Verify Completion of Rehabilitation Project for the Historic and Cultural Landmark Property Located at 2208 Mistletoe Avenue and Declare said Property to be Entitled to a Historic Site Tax Exemption (COUNCIL DISTRICT 9)


RECOMMENDATION:

It is recommended that the City Council:

1.  Verify completion of the rehabilitation project for Historic and Cultural Landmark property located at
     2208 Mistletoe Avenue; and

2.  Declare that 2208 Mistletoe Avenue be entitled to the Historic Site Tax Exemption set forth herein.

 
DISCUSSION:

The purpose of this Mayor and Council Communication (M&C) is to verify the completion of the
rehabilitation project at the Historic and Cultural Landmark (HC) property located at 2208 Mistletoe
Avenue (Property) and declare said Property to be entitled to the Historic SiteTax Exemption set
forth below.  The application for this property requesting the historic site tax exemption was
submitted prior to May 1, 2018.

Any structure that is designated as HC, or that contributes to a district and the land necessary for
access to and use of the structure that is substantially rehabilitated is eligible to receive the
following tax exemption under Chapter4.401 of the City Code, with the intent that the properties
receiving the tax exemption will be in the same position in regards to City of Fort Worth taxes for
the entire term of the exemption.  Substantial rehabilitation consists of rehabilitation at a cost that
equals or exceeds the greater of 30 percent of the assessed value of the structure prior to
rehabilitation or $3,000.00.  The structure and land described above will have an assessed value
for city tax valuation purposes equal to the assessed value of such structure and land for the tax
year immediately prior to the commencement of rehabilitation.  Any increase in the value of the
structure and land in excess of the assessed value for the tax year immediately prior to
commencement of there habilitation is exempt from city ad valorem taxes.  During the term of the
historic site tax exemption, the structure and land will receive an exemption in an amount equal to
the difference between the following:  (1) The City of Fort Worth current-year taxable value after
application of any other applicable exemptions, including the homestead exemption; and (2) the
City of Fort Worth base-year taxable value after application of any other applicable exemptions,
including the homestead exemption.

The term of this tax exemption is ten years, commencing on the first day of the tax year following
the City Council's verification that the rehabilitation project is complete.  If, during the ten-year term,
the structure or the land is assessed at a lower value than the tax year immediately prior to
commencement of the rehabilitation, the lower value will apply.  The Historic and Cultural Landmarks
Commission (HCLC) reviewed and approved the initial application and verified completion of there
habilitation project for the Property on the date set forth in the table below.  The initial application
for the Property was approved by the City Council on the date set forth below.

The property owners have submitted all required documentation that the property has been substantially
rehabilitated and staff represents that the property has been substantially rehabilitated in accordance
with the applicable provisions of the City Code.  The table below shows the required expenditures
necessary to substantially rehabilitate the property and the total amount actually expended by the property
owners.  The total amount expended on the rehabilitation project exceeds the required expenditure.  Staff
recommends that the City Council verify completion of the rehabilitation project for the property because it
satisfies all the requirements of the City Code.  Upon verification, staff recommends that the City Council
declare the property to be entitled to the tax exemption, with a 10-year term commencing on the first day
of the 2019 tax year.
  

Location

Taxing
Year

LandValue

Improvement
(Structure)Value

Homestead
Exemption

Base-Year Taxable Value

Required
Expenditure

Total
Expended

HCLC InitialApproval

City Council Initial Approval

HCLC
Verification

2208 Mistletoe Ave.

2016

$180,000.00

$116,230.00

Y

$236,984.00

$34,689.00

$74,999.00

10/11/17

2/13/18

11/12/18


This property is located in COUNCIL DISTRICT 9.

This M&C does not request approval of a contract with a business entity.

 
FISCAL INFORMATION/CERTIFICATION:

Upon final approval of the Historic Tax Exemption-Verification applications, the Director of Finance
certifies that a loss of an estimated $4,710 in property tax revenue may occur over the 10 year tax
abatement period. This reduction in revenue will be incorporated into the long-term financial forecast
upon the Historic Tax Exemption being officially granted.

TO
    Fund Department
ID
Account Project
ID
Program Activity Budget
Year
Reference #
(Chartfield 2)
Amount

FROM
    Fund Department
ID
Account Project
ID
Program Activity Budget
Year
Reference #
(Chartfield 2)
Amount

Submitted for City Manager's Office by:
Jay Chapa (6122)
Originating Department Head:
Randle Harwood (6101)
Additional Information Contact:
Justin Newhart (8037)

 
 
ATTACHMENTS
  2208 Mistletoe Ave.pdf