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HomeMy WebLinkAbout1992-02-11-1000AM-SpecialIrv vaP n•, , cop: BRAZOS COUNTY C",y',~;' y'' BRYAN, TEXAS G 1I AGENDA BRAZOS COUNTY COMMISSIONERS' COURT MEETING THE COMMISSIONERS' COURT WILL MEET IN SPECIAL SESSION ON TUESDAY, FEBRUARY 11, 1992, AT 10:00 A.M. IN THE COMMISSIONERS' COURTROOM OF THE BRAZOS COUNTY COURTHOUSE, 300 EAST 26TH STREET, SUITE 115, BRYAN, TEXAS. 1. Consider and take action on computer equipment for Brazos County. 2. Adjourn. COMMISSIONERS' COURT SPECIAL MEETING FEBRUARY 11, 1992 • A special meeting of the Commissioners' Court of Brazos County, Texas was held in the Commissioners' Courtroom in the Courthouse in Bryan, Brazos County, Texas, beginning at 10:00 a.m. on Monday, February 11, 1992, with the following members of the Court present: R. J. Holmgreen, County Judge, Presiding; Gary Norton, Commissioner of Precinct 1; Walter Wilcox, Commissioner of Precinct 2; Randy Sims, Commissioner of Precinct 3; Milton Turner, Commissioner of Precinct 4; Mary Ann Ward, County Clerk. The following citizens and officials were in attendance: Ruth McLeod Executive Assistant Bea Green Secretary to Commissioners Carol Palmer Admin. Asst. to County Judge Sharon Fairchild County Auditor Cheryl Turney Auditor's Office Barbara Johnson County Clerk's Office M. J. Deen Data Processing • Dan Colunga Computer Consultant on motion by Commissioner Norton, seconded by Commis- sioner Turner, the Court voted unanimously to adopt the E guidelines and criteria for granting tax abatement for Brazos County Texas. The Court next considered a proposal submitted by Dr. Dan Colunga, Computer Consultant, for consulting fees based on a six (6)-basis and a twelve (12) month basis. Dr. Colunga informed the Court of the some of the problems facing the Data Processing Department with the System 11 Computer. He began by saying that the on site maintenance contracts for all System 11's will terminate as of December 1992 and that service will be on a time and materials basis. He also said F i that the System 11 was experiencing increasing problems. He • ~ suggested it was time to replace the System 11. Commissioner Sims asked for a ball park figure on replacement costs. Dr. A Colunga replied that somewhere between $250,000 to $300,000 4 dollars. The County Judge recommended that Dr. Colunga ~ r ~y 4 R 17 '3 Commissioners' Court meeting February 11, 1992 conduct a thorough study of our needs along with a growth study and suggested considering obsolescence. The County Judge then moved to approve the proposal based on a twelve (12) month basis. The motion was seconded by Commissioner Norton. The vote was unanimous approving the twelve month proposal. A copy of the proposal is attached hereto. Commissioner Norton suggested appointing a user group ~I committee to act as liaison between Dr. Colunga and the Court. The committee would be charged with the formulation of county computer needs. Commissioner Wilcox moved to establish a computer user group and suggested Commissioner Norton be the liaison for the Court. The motion was seconded by Commissioner Norton. Commissioners Norton, Sims, Turner and Wilcox voted "Aye", the County Judge voted "No". There being no further business to come before the Court, the meeting was adjourned. V P i • 0 The foregoing minutes have been examined and approved in open Court this the 11 day of 19191--< in Bryan, Brazos County, Texas. R. J. . olmgreen County Judge V2_ _ a _ Walter Wilcox Commissioner, Precinct 2 Milton Turner Commissioner, Precinct 4 Randy Si Commissioner, Precinct 3 A116- 1 ~ " ~ ; , Mary A Ward County Clerk Gary Norton Comm~-/s sioner, Precinct 1 RESOLUTION STATE OF TEXAS § COUNTY OF BRAZOS § At a Special Meeting of the Commissioners Co of Brazos County, Texas, held on the 11th day of Fe ary, 1992, on motion made by ?K2sw-UL, 1c40 Q7o,v ,ju and seconded by JW14U/✓ the following Resolution was adopted: WHEREAS, Brazos County is interested in the establishment of new jobs in the County and in the enhancement of the economic base of the County; and WHEREAS, the County has within its means certain powers that can promote such economic growth; and WHEREAS, the Property Redevelopment and Tax Abatement Act of Chapter 312 of the Texas Tax Code authorizes the County to provide tax abatement for limited periods of time so as to induce development in an area; and WHEREAS, the County is interested in using such mechanism in Brazos County. NOW, THEREFORE BE IT RESOLVED THAT the Brazos County Commissioners Court does hereby elect to become eligible to participate in tax abatement agreements as provided in the Property Redevelopment and Tax Abatement Act, Chapter 312 of the Texas Tax Code. Done in open Court the 11th day of February, 1992. Aj , 1*01 Judge J. H Comnussioneoliry Nbrton, Precinct No. 1 ct No. 2 Commission=~' missioner Ra y Sims, Precinct No. 3 Com Commissioner Milton Turner, Precinct No. 4 V O L PAG E____1= - - L • • 1 r RESOLUTION STATE OF TEXAS § COUNTY OF BRAZOS § GUIDELINES AND CRITERIA FOR GRANTING TAX ABATEMENT BRAZOS COUNTY, TEXAS • • I. INTRODUCTION WHEREAS, the attraction of long-term investment and the establishment of new jobs in the County would enhance the economic base of the County; and WHEREAS, Brazos County has certain governmental powers that enable it to take affirmative and effective action to stimulate such growth:, and WHEREAS, tax abatement is one of the principal means by which the public sector and the private sector can forge a partnership to promote real economic growth within the community; and WHEREAS, tax incentives offered must be strictly limited in application to those new or existing industries that bring new wealth into the community in order to avoid reducing the needed tax revenues of the County; and WHEREAS, in addition to keeping the protection of the environment and other natural resources as high priority, any attempts to stimulate the economy should be relatively assured of eventual positive economic effects on Brazos County, Texas' revenue raising capabilities; and a WHEREAS, the Property Redevelopment and Tax Abatement Act (the "Act") Chapter 312 of the Texas Tax Code authorizes the County to provide property tax abatement for limited periods of time as an inducement for the development or redevelop- ment of a property; and WHEREAS, effective September 1, 1987, the Act requires eligible taxing jurisdictions to establish Guidelines and Criteria as to eligibility for tax abatement agreements prior to granting any future tax abatement, said Guidelines to be unchanged for a two (2) year period unless amended or repealed by a three-fourths vote of the Court; and WHEREAS, this document states guidelines and criteria that the County will utilize in attempts to assert positive economic development, but should not be read to imply or suggest that Brazos County, Texas is under an obligation to afford these opportunities to any applicant; and WHEREAS, these Guidelines and Criteria are designed to allow maximum flexibility in addressing the unique concerns of each applicant while enabling the County to respond to the changing needs of the community. NOW, THEREFORE, BE IT RESOLVED, by Brazos County, Texas, acting by and through its duly elected Commissioners Court, that these Guidelines and Criteria for granting tax abatement in Brazos County, be and are hereby adopted: 2 Vol P! 3 • II. DEFINITIONS A. "Abatement" means the full or partial exemption from ad valorem taxes of certain real and/or personal property in a Reinvestment Zone designated for economic development purposes pursuant to Chapter 312 of the Texas Tax Code. B. "Agreement" means a contractual agreement between a property owner and/or lessee and an eligible jurisdiction for the purposes of tax abatement. C. "Base Year Value" means the assessed value of eligible property January 1 preceding the execution of the agreement plus the agreed upon value of eligible property improvements made after January 1 but before the execution of the Agreement. D. "County" means Brazos County, Texas. E. "Deferred Maintenance" means improvements necessary for continued operations which do not improve the productivity or alter the process technology. F. "Distribution Center Facility" means buildings and structures, including machinery and equipment, used or to be used primarily to receive, store, service, or dist-ibute goods or materials owned by the facility operator where a majority of the goods or j services are distributed to points at least fifty (50) miles from its location in the County. G. "Expansion" means the addition of buildings, structures, fixed machinery, or equipment for purposes of increasing production capacity. H. "Facility" means property improvements completed or in the process of construction which together comprise an integral whole. • 4 3 C r _ 1. "Manufacturing Facility" means buildings and structures including machinery and equipment, the primary purpose of which is or will be the manufacture of tangible goods or materials or the processing of such goods or materials by physical or chemical change, including the assembly of goods and materials from multiple sources in order to create a finished or semi-finished product. J. "Modernization" means the replacement and upgrading of existing facilities which increases the productivity input or output, updates the technology or substantially lowers the unit cost of the operation. Modernization may result from the construc- tion, alteration, or installation of buildings, structures, fixed machinery or equipment. It shall not be for the purpose of reconditioning, refurbishing, or repairing except as may be integral to or in direct connection with an existing expansion. K "New Facility" means a property previously undeveloped which is placed into service by means other than or in conjunction with expansion or modernization. L "Other Basic Industry" means buildings or structures including fixed machinery and equipment not elsewhere described, used or to be used for the production of products or services which serve a market primarily outside the County and result in the creation of new permanent jobs and create new wealth in the County. M. "Personal Property" means tangible personal property located on the real property, excluding that personal property located on the real property prior to the period covered by the abatement agreement with the County, and other than inventory or supplies. 4 VOL-4-PAC-111- ~by • N. • "Productive Life" means the number of years a property improvement is expected to be in service. 0. "Project" means any property improvement including expansions, modernizations, and new facilities; but excluding any deferred maintenance. P. "Reinvestment Zone" means any area of the County which has been designated a reinvestment zone for tax abatement purposes and which is located within the taxing jurisdiction of the County. It is the intent of the County to designate reinvestment zones on a case-by-case basis in order to maximize the potential incentives for • eligible enterprises to locate or expand within the County. Q. "Regional Entertainment Facility" means buildings and structures, including machinery and equipment, used or to be used to provide entertainment through the admission of the general public where the majority of the users reside at least fifty (50) miles from its location in the County. R. "Regional Service Facility" means buildings and structures, including machinery and equipment, used or to be used to provide services where a majority of the individuals serviced are at least fifty (50) miles from the facility's location in the County. S. "Research Facility" means buildings and structures, including machinery and I equipment, used or to be used primarily for research or experimentation to improve or develop new tangible goods or materials or to improve or develop the production f processes thereto. 5 iI - T. 'Targeted Enterprise" means the following facilities - distribution center facility, manufacturing facility, regional entertainment facility, research facility, regional service facility, or any other basic industry. III. CRITERIA FOR TAX ABATEMENT A. General Criteria. All applications must meet the following general criteria before being considered for tax abatement: 1. The project expands the local tax base. 2. The project creates permanent full time employment opportunities. 3. The project would not otherwise be developed. 4. The project makes a contribution to enhancing further economic development. 5. The project must remain in good standing to all aesthetic and environmental concerns. 6. The project has not been started and no construction has commenced at the time the application is approved. 7. The project must not have any of the following objections: a. there would be substantial adverse affect on the provision of govern- ment service on tax base; b. the applicant has insufficient financial capacity; C. planned or potential use of the property would constitute a hazard to public safety; P ,t lr a PAC 6 - - -.?i I • .r „j d. planned or potential use of the property would create adverse impacts to adjacent properties; e. any violation of laws of the United States or State of Texas or ordinances of Brazos County, Texas would occur; or f. it is in an improvement project financed with tax increment bonds. B. Specific Criteria. If the project in the application meets the general criteria, is a facility of a Targeted Enterprise and has a capital cost that exceeds $250,000 then abatement of any or all of the increased value will be considered. In no case would tax abatement exceed the maximum allowed by state law, presently 100% for ten (10) years. Factors to be considered in determining the portion of the increased value to be abated and the duration of the abatement agreement include, but are not limited to: 1. Total amount of the increased value; 2. Total number of jobs created; 3. Type of jobs created; 4. Dollar Value of payroll created; 5. Other municipal costs and revenues associated with the application. IV. APPLICATIONS FOR REINVESTMENT ZONES AND TAX ABATEMENTS A. All requests for reinvestment zones and tax abatement in the jurisdiction of Brazos County, Texas shall be made by filing a written application with the County Commissioners Court after addressing all criteria questions contained in this 7 Vol r F r M B. document. An application for designation of a reinvestment zone and for tax abatement may be combined and submitted jointly. All applications shall include the following unless the County has waived a requirement that it has deemed unneces- sary to properly evaluate the request: 1. a general description of the project including purpose and explanation of the kind, number and location of all proposed improvements as well as how the project will meet the criteria established by this document. 2. a plat showing the precise location of the property and all improvements thereon, all roadways within 500 feet of the site and all existing zoning and land uses within 500 feet of the site, (a complete legal description shall be provided if the property is described by metes and bounds). 3. a complete estimated cost of the project by "line item" approach 4. a description of the methods of financing all estimated costs and the time when related costs or monetary obligations are to be incurred 5. estimated number of employment opportunities the project creates over the period of the abatement, distinguishing between employees to be used during construction and permanent full time employees remaining after construction is complete; included will be annual pay for each position 6. a detailed time schedule for undertaking and completing the project. After reviewing the application, if the County staff finds the application to be complete and accurate and meets the criteria established by this document, the County Staff will then do or cause to have done an impact study, which the applicant s • may be required to pay or participate in paying for, setting forth the impact of the proposed reinvestment zone and tax abatement agreement. This study shall include, but not be limited to a cost benefit analysis, of the creation of the reinvestment zone and the abatement of taxes. C. After establishing the benefits of the proposal, the County staff may propose that the County offer a tax abatement agreement. The County will then meet with representatives of each governing body of every taxing unit that the proposed reinvestment zone involves; this is to determine each taxing unit's intentions of • entering into a tax abatement. D. The County staff will then inform the applicant of the potential tax abatement agreement, the intentions of the other taxing units on tax abatement agreements, and what other incentives will be offered for the proposed project. E. Having completed all the required steps in the process, and having been assured by the applicant that it wishes to proceed, the County may then follow procedures in accordance with Texas Tax Code Chapter 312 (Vernon 1989), as amended, and establish a reinvestment zone and tax abatement agreement. V. DESIGNATION OF A REINVESTMENT ZONE AND TAX ABATEMENT A. Brazos County by Order must designate an area as a reinvestment zone. Prior to • i I' i adopting such an Order the County Commissioners Court must conduct a public hearing on the designation that entitles all interested persons to speak and present 9 E -s;-, ~ 4.sm....m.anr.v - °~.;•t+':rvar~rc+r~s~~w,,~K:+t~'~+rr-w-t;r ~+-rasr«r• ~ . „ .....e...,......,• F r ` i evidence for or against the designation. Not later than the seventh day before the date of the hearing, notice of the hearing must be: 1. Published in a newspaper having general circulation in the County. 2. Delivered in writing to the presiding officer of the governing body of each taxing unit that includes in its boundaries real property that is to be included in the proposed reinvestment zone. B. The County by resolution may enter into a tax abatement agreement. At least seven (7) days before entering into the agreement; the County will deliver written notice of its intent to each taxing unit that is included in the reinvestment zone. 1. Any agreement will include, but not be limited to, the following specific terms: a. all appropriate stipulations included in the application, as outlined by this document, for a reinvestment zone and tax abatement agreement. b. the amount and duration of the tax abatement. C. a method for determining the qualifications of meeting the criteria and a promise to meet and maintain these qualifications over the term of the agreement; the County will be allowed, upon written request and reasonable notice, to inspect and audit such records of the applicant as are necessary to substantiate that the applicant is meeting criteria agreed upon during the term of the abatement. d. a provision that in the event the agreement is terminated for whatever reason or the applicant fails to fulfill the terms and provisions thereof, 10 • • the tax abatement agreement will be determined null and void and all abated taxes will be paid immediately to the County and all other taxing units participating in the agreement. C. access to and authorized inspection of the property by County employees to ensure that the improvements or construction are made according to specifications and conditions of the agreement. C. An agreement may be modified or terminated by the mutual consent of the parties in the same manner that the agreement was approved and executed; provided however, the agreement may not be altered to extend more than ten (10) years from the date of the original agreement. VII. OTHER INCENTIVES A. The County Commissioners Court may consider other economic development incentives as necessary to promote or secure a Targeted Enterprise. Such incentives may include, but not be limited to: 1. Waiving of fees - Permit application and fees as of a similar nature may be waived upon approval of the Court. 2. Infrastructure - Extension, construction or reconstruction of infrastructure necessary for the development of a Targeted Enterprise may be made upon approval of the County Commissioners Court. 3. Other Benefits - The granting of any benefit or waiver of any requirement within the County's authority to so grant or waive as may be determined by v 11 VC, ,:r.5'F'L~'"►;"~}T,1'lrr~g-;.w;s;3~'}Tl:a;'{D93d'}'•w e.T ;'.Tr+. ~ .r r .fir. ~,^~i r"n. ~ - r.~ . a- N . •r sw• t~F r f f 1 ' I { I the County Commissioners Court to be of benefit to the applicant and to promote development as herein stated. EXECUTED in open Court the 4C day of February, 1992. BRAZOS COUNTY, TEXAS By: (L V '6~ , C'-~ - Judge If J. Holmgre By: Randy Si ecinct 3 i By: Gary Nort Pre inct 1 By: r Walter Wilcox, Precinct 2 By: ca-'2 T"Z~ Milton Turner, Precinct 4 12 :J. - - • ~i ,1+_~ Y. .=Y. l YVU']~~,c+y1..~.ln.a'.-~c'i~vl~lry'YSL[Yltc`,~q<Cll~x-Iw/l~al'~[S'aaiir+S'TrLL~-Frsn.~.~. v w I ~ ~ • • BRAZOS COUNTY CONSULTING PROPOSAL SUBMITTED BY: DR. DAN COLUNGA COMPUTER SYSTEMS CONS ULTANT PROPOSED MONTH ACTIVITY DAYS COST COST JAN NEEDS EVALUATION 3.0 $4,500 $2,500 FEB NEEDS EVALUATION 3.0 $4,500 $2,500 MAR NEEDS EVALUATION 3.0 $4,500 $2,500 APR RFP DEFINITION S.0 $7,500 $:,500 MA? BIDS DISTRIBUTION 4.0 $6,000 $2,500 JUN BIOS EVALUATION & AWARD 6.0 $9,000 $2,500 JUL SYSTEM TRAINING 1.0 $x,500 $2,5@0 AUG SYSTEM DELIVERY 2.0 $3,000 $2,500 SEP INSTALLATION EVALUATION 3.0 $4,500 $:,500 OCT SYSTEM EVALUATION 2.0 $3,003 $2,500 NOV SYSTEM EVALUATION 2.0 $3,00LA $2,500 DEC SYSTEM ACCEPTANCE 2.0 $3,000 $2,500 TOTAL - 36.0 $54,000 $3-0,000 PROJECTED SAVINGS FOR BRAZ05 COUNTY $24,000 PERCENT 44.4 SAVED