R-2015-107 2015-06-22RESOLUTION NO. R2015-107
A Resolution of the City Council of the City of Pearland, Texas,
accepting the 2014 annual report for Tax Increment Reinvestment Zone
#2.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF PEARLAND, TEXAS:
Section 1. That the Annual Report for Tax Increment Reinvestment Zone #2,
attached hereto as Exhibit "A, is hereby accepted.
PASSED, APPROVED and ADOPTED this the 22"d day of June, A.D., 2015.
ATTEST:
APPROVED AS TO FORM:
DARRIN M. COKER
CITY ATTORNEY
TOM REID
MAYOR
Resolution No. R2015-107
Exhibit "A"
REINVESTMENT ZONE NUMBER TWO
CITY OF PEARLAND, TEXAS
ANNUAL REPORT
2014
TABLE OF CONTENTS
City of Pearland, Texas, City Council 3
TIRZ Board of Directors 4
Description of the Zone 5
Purpose of the Zone 6
State of the Zone and Plan Implementation in 2014 7
TABLES
TABLE A: Taxing Entity Percent Participation 7
TABLE B: Base Values by Jurisdiction 8
TABLE C: Revenue Fund Balance by Year 8
TABLE D: Project Plan & Reinvestment Zone Financing Plan Budget 10
TABLE E: Outstanding Debt as of Fiscal Year End 11
TABLE F: Letter Finance Agreements Approved for Reimbursement 12
APPENDICES
Exhibit 1: Zone Boundary Map 15
Exhibit 2: Amended Zone Boundary Map 16
COMPLIANCE
Texas Tax Code Section 311.016 (a):
(1) 7
(2) 9
(3) 11
(4) 13
(5) 13
2
CITY OF PEARLAND, TEXAS
CITY COUNCIL
2014 Council Members
Mayor Hon. Tom Reid
Mayor Pro -Tem Hon. Keith Ordeneaux
Council Member Hon. Scott Sherman
Hon. Gary Moore
Hon. Tony Carbone
Hon. Keith Ordeneaux
Hon. Greg Hill
City Staff
City Manager Clay Pearson
Director of Finance Claire Bogard
3
REINVESTMENT ZONE NUMBER TWO
CITY OF PEARLAND, TEXAS
BOARD OF DIRECTORS
2014 Board Members
Position 1 Donna Coleman
State Senator Designee
Position 2 Gary Davis
State Representative Designee
Position 3 Herb Fain, Jr.
City of Pearland Designee
Position 4 Gary Cook, Vice Chair
City of Pearland Designee
Position 5 Kenneth R. Phillips, Chair
City of Pearland Designee
Position 6 Jo Knight
City of Pearland/Alvin Independent
School District Designee
Position 7 Mike Pyburn
Alvin Independent School District Designee
Position 8 Ali Hasanali
Fort Bend County Designee
Position 9 Larry Loessin
Brazoria County Designee
4
DESCRIPTION OF ZONE
In accordance with the Tax Increment Financing Act (Chapter 311, Tax Code), Reinvestment
Zone Number Two, City of Pearland, Texas (the Zone) was established by Ordinance 891 of the
City Council of the City of Pearland (the City), Texas on December 21, 1998. The original Zone,
also known as "Shadow Creek Ranch", consisted of 3,467 acres located in Brazoria County and
Fort Bend County, Texas. In addition, the Zone is located in Alvin I.S.D. (AISD), Fort Bend
I.S.D. (FBISD) and a small portion in Pearland I.S.D. (PISD). The original Zone is generally
bounded by Clear Creek on the north, State Highway 288 on the east, Broadway (the extension
of FM 518 west of S.H. 288) on the south and FM 521 on the west. A map illustrating the
original boundaries of the Zone follows on page 15 as Exhibit 1. On August 23, 1999, by
Ordinance No. 918 of the City, the Project Plan and Reinvestment Zone Financing Plan (the
Project Plan) for the original TIRZ boundaries was adopted.
st
1 Plan Amendment
On July 10, 2006. by Ordinance 1276 of the City. the Project Plan was amended and the Zone
was expanded to provide for the annexation of 457 acres of vacant land, adjacent to the Zone.
288 acres are in Brazoria County and 169 acres are in Fort Bend County.
nd
2 Plan Amendment
On November 13, 2006 by Ordinance 1312 of the City, the Project Plan was amended to
provide for development of public improvements to serve Shadow Creek Ranch Town Center.
The proposed development is within the boundaries of the original Zone and Brazoria County.
rd
3 Plan Amendment
On November 13, 2006 by Ordinance 1313 of the City, the Project Plan was amended and the
Zone was expanded to provide for the annexation of 8+ acres to facilitate the improvement and
widening of Broadway from S.H. 288 to F.M. 521. The boundaries of the annexed area are
within Brazoria County.
The Zone is now composed of 3,932+ acres, of which 3,125+ acres are within Brazoria County
and 807+ acres are within Fort Bend County. A map illustrating the boundaries of the Zone as
expanded follows on page 16 as Exhibit 2.
5
PURPOSE OF ZONE
The objective of the Zone is to facilitate quality mixed-use development with a self-sustaining
tax base for the City and the other participating taxing entities.
The City Council, in adopting the ordinances creating and expanding the Zone, found that the
development described in the Project Plan, and its subsequent amendments, would not likely
occur, to the quality, standards and densities described in the Project Plan, but for the creation
of the Zone.
The City Council further found that improvements in the Zone will significantly enhance the
value of all taxable real property in the Zone and will be of general benefit to the City. The Zone
will pursue its objective by acting as a financing vehicle for regional public improvements, as
described in the Project Plan as amended. The methods of financing and the sources of funding
available to the Zone, including the participation levels of the various participating entities.
including the City, Brazoria County. Fort Bend County and Alvin ISD, are described in the
Project Plan and its amendments.
6
Taxing Entity Participation
Taxing Entity
Zone Years
Participation
City of Pearland
9 through 30
100% of taxes collected at current tax
rate on Captured Appraised Value (1)
Brazoria County
1 through 30
100% of taxes collected at current tax
rate on Captured Appraised Value up
to a tax rate of $.1359, or if rate is less
than $.1359 then 38% of actual tax
rate.
Fort Bend County
11 through 20
100% of taxes collected at current tax
rate on Captured Appraised Value. up
to a maximum tax rate of .468075 (2)
Alvin ISD
1 through 30
100% of taxes collected at current tax
rate on Captured Appraised Value (3)
STATE OF THE ZONE AND PLAN
IMPLEMENTATION IN 2014
1. The information provided in this section is in accordance with § 311.016 (a) (1) of the
Texas Tax Code, which requires inclusion of the amount and source of revenue in the tax
increment fund established for the zone.
In addition to the City's tax increment revenue, interlocal agreements with Brazoria County, Fort
Bend County and Alvin ISD provide for each taxing unit's participation in the Zone. The Project
Plan also allows for the participation of Brazoria Drainage District No. 4 and Fort Bend
Independent School District, though neither is currently participating. Levels of participation are
detailed in the Project Plan and current levels of participation are shown in Table A. The zone
is currently in its sixteenth year.
TABLE A
(1) 64% to be repaid as an administrative cost. provided the TIRZ retain at least $.255 / S100.
(2) In years 21 through 30 participation drops to 100% of .31205.
(3) 75% to be used by AISD for the construction of educational facilities.
The obligations of the participating taxing jurisdictions, as defined in their respective interlocal
agreements, include the timely deposit of tax increment into the City's tax increment revenue
fund.
Table B illustrates the growth in appraised value from base year to tax year 2014 for each
participating jurisdiction. Table C illustrates the amount of the incremental revenue, which has
been transferred to the increment fund. These amounts are based upon actual taxes collected
as of December 31, 2014.
7
TABLE B
Bae Marla Yaks by 3,0496*. 1
Tariq Entity
2e0 Tut Base Value 2014 Sake 121 Chars*
Original Zana
Cry d Paansnl
Braman, Cony
Fort Bad Carly
Air LSD
1998
7112.980
4143,160
3029620
4,143.160
1 551.982101
1416935 330
2330617/1
1 392 293 068
1 644 124 121
1 414 692 110
230 031951
1 388.139 906
191 Plan A wrainuu
Cly d Pea070
Braman. Canty
Fon Bent C9amy
2nd P1n An.nOso071(31
C46 o1 PerM4
Braman. cagy
Fon Bona Cowry
3,41 Plan Mnndm48 (41
Cry or Pend.
Bramru Carty
Fon Bard Carry
2008
2006
2006
4,3616800
3.354.630
1026 850
9 781830
6 059 930
3721880
5.400.1)0
2105.100
2 695,030
(1) 1714 manna onnitn ion marepafSad by the B&worr. .d Fat Bald Comfy Appose, 0srncfs
(2) 96.+03.s*s lass 14 orplio 4).. d Jury 1. 2014
)3) NI d the land.8Mn dm 2nd Ron Aman7dnnt we is Aldo le 6aMar0s al the .pro' Iona
(4) NI d to (and.ONn Ire 3d Ran A...d l.. Ne is 9378, owned by to n8aslpa y a Main dedoded ROW and 'h. lu esem9r
TABLE C
C15 d Pe.1.nd Tt12 No. 2 Tu Hr.nenl Ravens* Fund Bala. by Yin (1)
Yew
Cly M
ofPsdResrua s
Rabat* boy tan Mm -raw Coos ;31
930087. County linens
Aon ISD Rums N)
069 Reams
For. Bad cowry R.we
Ega6Me. for 2003 Atrvla.ion
Trand.a b 0es1199esn1 AO'.Il
2090)2001
1999124 42445) 2002 2003 2004 2015 2906 2003 2006 2000 2919 2911 2612 2913 2914
4> 111 3 93896 S 67.368 5 167,897
5 (232211 5 160.353)
5 10969 5 207.479
9 4,130
$ (11524)
753.905
1299.311)
159.854
229941
90,961
(154X13)
935.516 $ 4.632.558 $ 6.312.426 S 6.719803
1344.2571 9(1,667,7121 S (4.039.953) 5 14 0670241
215459 $ 815.614 5 1110.573 $ 1.056.912
826613 $ 2.616.519 $ 2.917.931 5 21379739
40.921 5 90.358 S 267.901 S 150232
125.380 5 165.540 $ 189306
(1X.2371 5 (305.6267 5 (392.9781 $ 1127259)
11.X743181 9 13 129 9791 5 (5 106 3441 5 (3 5469911
9.319.686
(50668601
1.297279
3,574.007
46.199
158.745
191.8381
(7971.122)
9600603 $ 6.349.033 310280,251 510459326
(5940117) $ (5.233.446( 3 (6.514,331) $ (6877117)
1431.579 5 3.449.043 3 1496.626 5 1.499.792
9941779 3 3.927.965 5 4.112.695 9 4.150862
18.119 S 8.554 3 2532.291 3 1.916.196
654409 5 435.863 3 432.546 3 505191
(69.616) 5 (40,1961 3 (16.7671 3 124.1221
10194.8131 $110 363 2301 $112016,0512 9(10997 933/
12326567
17,065.0231
1.521 028
4.167334
1,X8416
775.196
(16427)
114949781,
fund Burne S 45.111 S 236.490 S 198,103 5 300.032 S 1186.179 5 1.511 7211 9 1449.062 6 1.930.580 S 1638990 5 1,851.605 $ 2.277,367 5 1.969.003 5 2.127.901 $ 2.332457 $ 2999404
(1)Sows* 01y d Poland Teras Fund 001*37b Nd 1231 d each yew.
(21 Nob I9.t n years 1999 dmgb 2001 Wawa es rep nodnot of esp0Musa Fran poor 20026wxsd Foss srwys is mooned along stn robot. 10 de ay and onto expendluw
(31 Rotolo for edmur mets pool to 2007135%. n 200219. robes 6108.001.6450
(4) /304 Mai Also ISO ,,..,08 reported not of rhe 75% rotate b & in)SD
(57 Roam for 2000 910 22001 lona 0.n toMMd Mooch yew mon. w.4 re some e on 1999
(6) In edition toknot balarr0... d 12131714. A)20 ed X.309418 n dre sup.ne ocean.
8
2. The information provided in this section is in accordance with §311.016 (a) (2) of
the Texas Tax Code, which requires inclusion of the amount and purpose of
expenditures from the fund.
The Board of Directors of the Zone has been granted by City Council, in accordance with
Section 311.010 of Texas Tax Code, the power to administer, manage, and operate the
Zone and to implement the Project Plan. The Zone was created for the duration of 30 years,
or until dissolved by the City.
The total cost of the public improvements within the Zone, as outlined in the original Project
Plan, amounts to $294,482,034. Of this amount, the City will fund $35,471,061 worth of
improvements, and the Texas Department of Transportation (TxDOT) will fund another
$10,277,050 worth of improvements. The Zone will fund the remaining improvements,
which amounts to a cost of $248,733,923, unadjusted for inflation.
1st Plan Amendment
The original list of project costs was amended with the approval of the 1st Plan Amendment,
which included improvements, estimated to total $34,724,218. These improvements address
the water. wastewater, storm sewer, lakes channels, roads and landscaping costs for the
457-4- acre annexation.
2nd Plan Amendment
The list of project costs was amended again with the approval of the 2nd Plan Amendment,
which included improvements estimated to total S11,749,618. These improvements address
major road infrastructure, detention, drainage, landscaping and the relocation of pipelines
and overhead utilities. All projects associated with this annexation have been completed.
3rd Plan Amendment
The list of project costs was amended a third time with the approval of the 3rd Plan
Amendment, which included improvements estimated to total $8 million. This amendment
addressed the need to fund and construct a section of Broadway. All projects associated
with this annexation have been completed.
These costs are detailed in the amended Project Budget, a copy of which follows as Table
D. The Zone as now enlarged is composed of 3,932+ acres, of which 3.125+ acres are
within Brazoria County and 807+ acres are within Fort Bend County. A map illustrating the
boundaries of the Zone as amended follows on page 16 as Exhibit 2.
9
TABLE D
Reinvestment Zone NO. Z Cky of Pearland, Texas • Shadow Creek Ranch
Bud et
kern TIRZ Budget as
approved
(08/23/99) (1)
1st Plan
Amendment (2l
2nd Plan
Amendment ;2;
3rd Plan
Amendment (2l
TIRZ Budget as
Amended C1)
Infrastructure
Streets
Pavement
12.610.050
1.634,100
14.244,050
Sidewalks
1,859,400
1,859,400
Landscaping and Irrigation
9.675.350
9.675,350
Entry Monuments
735.320
735.320
Ughting
125.900
125.900
Broadway Widening and Signalizatlon
2,831.789
2.831,789
Business Center Drive Paving
852.722
852.722
Memorial Hermann Drive Paving
383,107
383.107
Water System
3.026.863
363,000
3.389.863
Wastewater System
6.940.964
1,029,000
7.969.964
Storm Water System
10,195.776
1.649.000
11.844.776
Lakes and Channels
Improvements
29,121.915
5.625.600
34.747.515
Land Cost
4,597,889
6.675,000
11.272,889
Detention and Drainage
Land Cost
2.850,000
2,850,000
Beautif Calton / Deepening / Pond Creation
200,000
200.000
Site Drainage Facilities
1,842,000
1,842.000
Parks and Recreation
Improvements
5,155.524
5.573.025
10.728.549
Land Cost
2,383,545
2.383.545
Landscaping
Business Center Drive
157,500
157.500
Memorial Hermann Drive
67.500
67.500
Overread Utilities Placed Underground
1,200.000
1,200.000
Pipeline Relocation
700.000
700.000
Mapr Improvements
Water Plants
Land Cost
20.000
20,000
WWTP
340.000
340.000
LIR Station
300.000
300.000
Traffic Signals
600.000
550.000
1.150.000
McHard Road Reimbursables
Mscelaneous
150,000
150.000
Signal
110.000
100.000
SH 288 Access Road
1.000.000
1,000,000
FM 518 Inprovements
6.485.600
6.485.600
Broadway/ FM 518 Improvements
7,100,000
7,100,000
Contengencies and Engineering
Contingencies (10%)
8.181.116
1.733.620
9,914,736
Engineering (15%)
11.274,211
2,860.473
490.000
900.000
15.524.684
Master Drainage Plan Costs
70.000
70.000
Environmental Study Costs
100.000
100.000
Subtotal
108.267,923
34,474.218
11.574.618
8.000.000
162,316.759
Zone Adrrin stration 1 Creation
TIRZ Adrrinist ration (1-3 Years)
466.000
466,000
Reimbursable TIRZ Creation Costs
900,000
900,000
Annexation Costs
250.000
250,000
Plan Amendment Costs
175.000
175,000
Subtotal
1,366,000
250,000
175,010
1,791,000
Total
109.633.923
34,724,218
11,749.618
8.000.000
164,107 759
City Facilities
Library
Improvements
2.395.000
2.395,000
Land Cost
105.000
105.000
Fire ! Police Station
Improvements
2.255,000
2.255.000
Land Cost
245.000
245,000
Subtotal
5.000.000
5.000.000
Educational Facilities
AISD Elementary School
41,600.000
41.600.000
AISD Jr. High School
21 450.000
21.450,000
AISD Fresh/Soph Campus
34.050.000
34.050.000
FBISD Elementary School
11.000.000
11.000,000
FBISD Middle School
26.000,000
26.000.000
Subtotal
134,100,000
134.100.000
Grand Total
248,733.923
34.724,218
11,749,618
8.000.000
303.207,759
(7) The ongnal TIRZ Budget as approved in 7999 dollars has not been adjusted for inflation
(2) The amended Budgets as approved in 2006 are shown in 2006 dollars and have not been adjusted for inflation
(3) The &dye( as amended shows budget Ione *terns .35 approved in then* respective years without adjustment for inflation.
10
TIRZ-Funded Projects:
Since the creation of the Zone a series of infrastructure improvements have been funded
and constructed. Project #13-06-002, Southlake, Phase 2 was initiated in 2013. The
proposed improvements total $9.1 million (2006 dollars) for construction, design, and
contingency for streets, water, sewer, drainage, land, and landscaping. The Zone approved
two Joint Construction and Reimbursement Agreements with Brazoria-Fort Bend Municipal
Utility District #1 and 518 SCR, Ltd for shared projects: (1) Southlake Phase 2 and (2)
Southlake, Shelton Ridge Lane Phase 2 Gulf Coast Water Authority Canal Bridge. The
board also approved Letter of Financing Agreements (Project 14-06-001) for Southlake
Phase 3 totaling $2.8 million (2006 dollars) and (Project 14-06-002) for Shadow Grove
Phase I totaling S5.9 million (2006 dollars).
During calendar year 2014 Shadow Creek Ranch reported approximately 374 home sales
and 406 closings. This brings the total number of homes in the Zone to 5,720 as of
December 31, 2014. Also, major construction during 2014 included a 174,000 square feet
Pearland Medical Center, a Walmart Neighborhood Center, a Reflection Bay Events Center,
and a 350 unit apartment complex.
City Funded Improvements:
• There were no City funded projects in 2014.
TxDOT Funded Improvements:
• There were no TxDOT funded projects in 2014.
3. The information provided in this section is in accordance with §311.016 (a) (3) of
the Texas Tax Code, which requires inclusion of the amount of principal and interest
due on outstanding bonded indebtedness.
Bond Issues
In accordance with a Tri -Party Agreement dated October 11, 2004 between the TIRZ, the
City of Pearland, and the Development Authority of Pearland (DAP), the TIRZ has pledged
increment to provide for the repayment of debt issued on its behalf. In this regard, the DAP
sold bonds in 2004, 2005, 2006, 2007 and 2009. The bonds were refunded in 2012 and are
outlined in Table E. The Development Authority also sold Series 2013 bonds and Series
2014 bonds, totaling $9,150,000 and $8,060,000 respectively.
TABLE E
Development Authority of Pearland Outstanding Debt as of December 31, 2014
Tax increment Contract
Revenue Bonds
Principal Amount
Issued
Principal Amount
Outstanding
Total Debt Service
Outstanding
Series 2012 (refunding)
$56.915,000
$48,715.000
561,099,687
Series 2013
$9,150,000
$8,720,000
$11,769,742
Series 2014
$8,060,000
$8,060,000
$9,793,072
Total
$74,125,000
$65,495,000
$82,662,501
In addition to developer reimbursements made via the sale of bonds, the DAP has also
made payments from cash reserves. In 2014 the DAP made direct payments to the
developer totaling $6,285,000. Total direct payments as of the end of 2014 for the DAP is
$47,991,860, all of which are reflected in the reimbursements outlined in Table F.
11
Additional LFA's Approved for Reimbursement
The Zone Board has approved a series of Letter Financing Agreements (LFA's) for
reimbursement. Prior to Board action all project costs related to each LFA were reviewed by
the Zone's Auditor, McGrath & Co. PLLC, and summarized in a reimbursement report. which
included eligible project costs plus interest.
Table F outlines Letter Financing Agreements approved through the end of 2014.
12
Letter Finance Agreements Approved for Reimbursement
Letter Finance Agreement (LFA)
LFA Date
LFA Amount (1)
Reimbursements
Through 2014 (2)
Creation Costs
06/19/2000
$ 900.000
$ 1,235,408
LFA99-11-001 (Entry)
11/08/1999
919.150 *
1,220,281
LFA 00-01-001 (V1P1A)
02/21/2000
6,524,629
5,243,529
LFA 00-10-002 (V1P1B)
10/09/2000
10.318,290
10.593,290
LFA01-04-001 (V1P1B)
08/23/2001
1,967.061
805,884
LFA03-10-004 (Kingsley Drive, Phase 3)
10/07/2003
3,529.173
2.791,877
LFA04-07-006 (Traffic Signal
07/13/2004
287.788
293.578
Shadow Creek PKWY/Kingsley)
-
LFA 04-07-007 (Parks and Trails
07/13/2004
1,007,256
877,201
Grading and Infrastructure)
-
LFA 03-10-001 (Remaining Village
10/07/2003
7.554.654
8,493.040
2, Phase 2 Improvements)
-
LFA 04-07-002 (Fire/Police Station Land Cost)
07/13/2004
408,668
555,954
LFA02-08-001 (Village 1 and Village
08/06/2002
4,727,516
6,029,532
2 Phase 2 Improvements)
-
LFA 01-11-002 (Additional Village 1 and
11/12/2001
24,509.430
33,055,576
Village 2 Improvements)
-
LFA 03-10-002 (Village 3. Phase 1 and
10/07/2003
7.809.950
11,734,369
2 Improvements)
-
LFA 06-03-001 (Elementary School #2 Site)
03/27/2006
1,687,801
1,886,601
LFA 06-08-002 (Library Site)
08/28/2006
481.569
557,100
LFA04-07-003 (Regional Nature Park)
07/13/2004
760,988
1,168,312
LFA 03-10-005 (Kingsley Drive Phase
10/07/03
4,486.342
6.811.005
4 Improvements)
LFA03-10-006 (Village 5Improvements)
10/07/03
7,055,177
11,274,134
LFA04-07-005 (Village 4, Phase 1 and
04/07/05
3,354.452
5.223,786
Refelction Bay North Improvements)
LFA03-10-003 (Village 3, Phase 3 Improvements)
10/07/03
7,711.582
5.557,103
LFA04-07-004 (Village 3. Phase 4 Improvements)
07/13/04
8,204,999
LFA06-01-003 (Remaining Village 4 Improvements)
01(30/06
7,120,532
LFA06-08-001 (Additional Sidewalks)
0828/06
2.356.305
LFA06-01-001 (Kingsley Drive North)
01/31/06
6,417,644
LFA06-01-002 (Additional Village 4 Improvements)
01/31/06
9.392.437
LFA 06-08-003 (S.H. 228 Frontage Road
08/31/06
1.276.667
LFA 06-10-001 (Road Infrastructure, Pipeline
10/23/06
9.949,618
Relocation and Site Drainage; Part of 2nd
Plan Amendment)
LFA07-03-002 (Shadow Creek Ranch Town Center
03/12/07
1,851,598
Improvements; Part of 2nd Plan Amendment)
LFA07-03-001 (Village 7, Phase 1 Broadway
03/12/2007
1,271,499
Improvements)
LFA08-05-001 (Broadway to FM 521)
05/05/2008
9,482.989
LFA08-05-002 (Broadway Landscape - Northside)
05/05/2008
1,158.218 •
LFA 08-01-001 (Broadway Improvements)
01/15/2008
8.449.086
City of Pearland
LFA 10-06-001 (Discovery Bay Extension to SH288)
06/07/2010
912.908
LFA 10-06-002 (SCH-4 Site)
06/07/2010
2,530,620
LFA 10-06-003 (SCH-5 Site)
06/07/2010
4,935,370
LFA 13-06-004 (SCH-3 Site)
06/24/2013
2,382,379
$ 173,694,345
$ 115.407,560
TABLE F
(1) LFA amounts have been adjusted for inflation por the Project and Financing Plan and related budget.
(2) Amounts reimbursed include actual interest por the Developer Reimbursement Agreement.
• Actual costs exceeded the amount of the LFA. Por the governing agreements, reimbursement is
limited to the amount of the LFA
13
4. The information provided in this section is in accordance with §311.016 (a) (4) of
the Texas Tax Code, which requires inclusion of the tax increment base and current
captured appraised value retained by the zone.
In each year subsequent to the base year, the Zone will receive tax increment revenue
based on ad valorem property taxes levied and collected by each participating taxing unit on
the captured appraised value of the Zone. The captured appraised value of the Zone is the
total appraised value of all real property located within the Zone as of January 1, less the
total appraised base year (January 1, 1998) value.
As of December 31, 2014, development schedules for the original Zone
remained unchanged from projections in the Project Plan. However. because the pace of
development is unpredictable, and because the Project Plan provides a best estimate of
captured appraised values, the actual captured appraised value in any future year may not
equal the projected estimates of such value.
As of January 1, 1998, the base year for the Zone, the area encompassed by the original
Zone was undeveloped land, with a total appraised value of $7,172,980. On January 1,
2014, the area encompassed by the Zone had a total appraised value of $1,478,575,032.
As a result, the total captured appraised value (net base year value and exemptions) on the
tax roll as of January 1, 2014 was S1,471,402,052 for the City, as illustrated in Table B.
The City of Pearland base year (2006) value for the 457+ acres annexed in the 1st Plan
Amendment was $4,381,680. As of January 1, 2014 the total appraised value was
$9,781,810. As a result the total captured appraised value on the roll as of January 1, 2014
was $5,400,130. All lands associated with the 2nd Plan Amendment are within the
boundaries of the original Zone. All lands associated with the 3rd Plan Amendment are
either owned by a municipality or are dedicated right-of-way with no taxable value.
5. The information provided in this section is in accordance with §311.016 (a) (5) of
the Texas Tax Code, which requires inclusion of the captured appraised value shared
by the municipality and other taxing units, the total amount of tax increments
received, and any additional information necessary to demonstrate compliance with
the tax increment financing plan adopted by the governing body of the municipality.
As previously stated, the City, Brazoria County, Fort Bend County and Alvin ISD are the only
taxing units currently participating in the Zone. As of January 1, 2014 the total captured
appraised value in the TIRZ was $1,476,802,182 for the original and annexed areas of the
Zone. The total amount of tax increment revenue received is detailed in Table C.
(This report was written in accordance with the provisions of Chapter 311.016 of the Texas
Tax Code)
14
REINVESTMENT ZONE NUMBER TWO
CITY OF PEARLAND, TEXAS
2014 ANNUAL REPORT
EXHIBITS
Clear Creek
1st Amendment
Annexation
3rd Amendment
Annexation
2ND AMENDMENT
PEARLAND RETAIL DEVELOPMENT
PARTNERS SITE
(SHADOW CREEK RANCH TOWN CENTER)
TIRZ Boundary
County Line N
3rd Amendment Annexation
1ST AMENDIVENT
ANNEXATION
PEARLAND RETAIL DEVELOPMENT
PARTNERS SITE
Exhibit 2