HomeMy WebLinkAboutResolution No. 2015-034CITY OF THE COLONY, TEXAS
RESOLUTION NO. 2015- ')
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF THE
COLONY, TEXAS, OPPOSING HOUSE BILL 376 AND ANY OTHER
LEGISLATION WHICH WOULD FMPOSE ROLL BACK TAXES ON
CERTAIN LAND HELD BY GOVERNMENTAL BODIES WHICH IS
SUBSEQLENTLY CONVEYED FOR ECONOTMIC DEVELOPMENT
PURPOSES; PROVIDING FOR AN IMMEDIATE EFFECTIVE DATE.
NA-HEREAS, House Bill 376 proposes to close a loophole on the imposition of roll back
taxes on land held b,, a political subdivision-. and
WHEREAS, House Bill 376 proposes to add subsections (r) and (s) to Section 23.55 of
the Texas Tax Code, to subject a property owrier to roll back taxes should the land be
subsequently conveyed to an end user: and
WHEREAS, the City Council for the City of The Colonv, Texas. believes House Bill
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376 is in response to the -Nebraska Furniture Mart project located �Nithin the City of The Colony,
'Texas: and
WHEREAS, the Nebraska Furniture Mart of Texas retail store is located on
approximately 90 acres of an approximately 43' ) acre tract or tracts of land, and
NAIWERE,kS. this 433 acre tract or tracts of land are located N�ithin Tax Increment
Reinvestment Zone Number One. City of The Colony. Texas: and
WHEREAS. on November 15, 2011. the City Council for the City of The Colony.
Texas, approved Ordinance Number 2011-1929, which approved the Final Project and
Reinvestment Zone Financing Plan for Tax Increment Reinvestment Zone Number One. City of
The Colony, Texas'. and
WHEREAS, in Section 8.4 of the Final Project and Reinvestment Zone Financing Plan it
is estimated that total. revenues generated at the 433 acre site for the term of the reinvestment
zone will generate the fbllo,, ing revenues:
for the State of Texas 57.1 billion dollars,,
for Denton County S38 million dollars,
for the 1.,e\vise ille Independent School District $1.2 billion dollars:
for the City of The Colony S612 million dollars,
for The Coloriv Community Development Corporation 15242 million dollars.
for The Colony Economic Dei elopment Corporation S242 million dollars; and
WHEREAS, the Nebraska Furniture Mart of Texas retail project is a subsidiary of
Berkshire Hathawav: and
WHEREAS, recently on February 7. 2015, in a Fox Business Nework intervicv,, Warren
Buffet with Berkshire Hathawa\, indicated his belief the Nebraska Furniture Mart of Texas retail
store would generate S I billion dollars in annual sales, and
WHEREAS, the State of Texas receives 6.25 percent in sales tax revenue for every S1
dollar in sales; and
WHEREAS, $1 billion dollars in annual sales would generate $62.500.000.00 sales tax
revenue for the State of Texas on an annual basis, and
WHEREAS, the Cit',- Council for the City of The Colony. Texas. believes relief from the
roll back taxes �� as an essential tool to land the Nebraska Furniture Mart of Texas project within
the Citv of The Colon`, Denton Countv. Texas. and
WHEREAS, the City Council for the City of The ColonN,. Texas. belie` -es this tool may
be a necessarx, tool in the future for other communities: and
WHERE-,kS, the CitN7 Council for the City of The Colony. Texas. believes relief from the
roll back taxes was a small price to pay for the future revenues which will be generated at the
433 acre site.
-NIONN7, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF "THE COLONY,TEXAS THAT:
SECTION 1. The City Council of the City of The Colony strongly opposes House Bill
X76 (2015) and anti leuislation that would erode the ability of governmental bodies to engage in
economic de-\elopment activity and provide land for economic development opportunities.
SECTION 2. This opposition to House Bill 376 (2015) and similar legislation be
communicated to members of the Texas Legislature and the Texas Governor's office.
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SECTION 3. This Resolution shall become effective from and after its date of passage
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in accordance r� ith laN\.
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF THE
COLONY, TEXAS, THIS 7t"' clay, of APRIL, 2015.
ATTET:
Christie Wilson. Citti Secretarx,
Jde McCo'-Urry/Ma�7or
,' eZ.,
SEAL
L.,,A,
APPROVED AS TO FORIM: