HomeMy WebLinkAboutOrdinance No. 2024-30 ORDINANCE NO. 2024-30
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF
FRIENDSWOOD, TEXAS, APPROVING THE PROJECT PLAN AND
REINVESTMENT ZONE FINANCING PLAN FOR REINVESTMENT ZONE
NUMBER TWO, CITY OF FRIENDSWOOD; CONTAINING FINDINGS AND
OTHER PROVISIONS RELATED THERETO; AND PROVIDING AN
EFFECTIVE DATE.
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WHEREAS,the City Council (the "City Council")of the City of Friendswood,Texas(the
"City") designated Reinvestment Zone Number Two, City of Friendswood (the "Zone"), by
Ordinance No. 2024-17, passed, approved and adopted by the City Council on June 3, 2024,
pursuant to Chapter 311 of the Texas Tax Code, as amended(the "Act"); and
WHEREAS, on September 23, 2024, the Board of Directors of the Zone (the "Zone
Board")adopted the Project Plan and Reinvestment Zone Financing Plan for the Zone(the "Plan")
and submitted it to the City Council for approval; and
WHEREAS, the Plan establishes an economic development program for the Zone for the
public purposes of developing and diversifying the economy of the Zone, eliminating
unemployment and underemployment in the Zone, and developing or expanding transportation,
business,and commercial activity in the Zone pursuant to Section 311.010(h)of the Act; and
WHEREAS, before the Zone Board may implement the Plan, the City Council must
approve the Plan, which, in part, relates to the development or improvement of a street, namely,
the extension of Friendswood Parkway within the boundaries of the Zone; and
WHEREAS,the City Council has reviewed the Plan and desires to confirm the designation
of the Zone and approve the Plan,and the establishment of an economic development program for
the Zone therein, in order to facilitate development or redevelopment in the Zone by financing the
costs of public works, public improvements, programs, and other projects benefiting the Zone,
plus other costs incidental to those expenditures, all of which costs are authorized by the Act:
NOW THEREFORE,
BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF FRIENDSWOOD,
STATE OF TEXAS:
Section 1. The recitations, facts, and findings contained in the recitals to this
Ordinance are hereby found and declared to be true and correct and are incorporated and adopted
as part of this Ordinance for all purposes. The definitions of terms contained in the recitals to this
Ordinance are hereby incorporated and made part of this Ordinance.
Section 2. The Plan attached hereto as Exhibit"A" is hereby found to be economically
feasible and is approved. The appropriate officials of the City are authorized to take all steps
reasonably necessary to implement the Plan.
Section 3. This ordinance shall take effect immediately upon its adoption and
publication in accordance with and as provided by law.
INTRODUCED, READ AND PASSED on first and final reading by the affirmative vote
of the City Council of the City of Friendswood on this the 23rd day of September,2024.
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.TOL• '''ATRA A, Ma or Pro Tem
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LETICIA BRYSCH,Cit Se retary ��04, 4
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APPROVED AS TO FORM: ' F Of 1—.�'�e<tlet/YLOO
KAREN L. I IORNER, City Attorney
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Exhibit "A"
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REINVESTMENT ZONE NUMBER TWO,
CITY OF FRIENDSWOOD
PROJECT AND REINVESTMENT ZONE FINANCING PLAN
SEPTEMBER 23, 2024
TABLE OF CONTENTS
Table of Contents 1
Section 1: Definitions 2
Section 2: Introduction 4
Section 3: Description and Maps 5
Section 4: Proposed Changes to Ordinances, Plans, Codes, Rules,and Regulations 5
Section 5: Relocation of Displaced Persons 6
Section 6: Estimated Non-Project Costs 6
Section 7: Proposed Public Improvements 6
Section 8: Estimated Project Costs 6
Section 9: Economic Feasibility 7
Section 10: Estimated Bonded Indebtedness 7
Section 11: Appraised Value 8
Section 12: Method of Financing 8
Section 13: Duration of the Zone, Termination 9
List of Exhibits 10
Exhibit A—Map of the Zone 11
Exhibit B—Non-Project Costs 12
Exhibit C— Project Costs 13
Exhibit D—Estimated Timeline of Incurred Costs 15
Exhibit F— Feasibility Study 16
Exhibit F—Proposed and Existing Uses of the Property 18
Exhibit G—Map of the Public Improvements 20
Exhibit H—Parcel Identification 21
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD 1
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN
SECTION 1: DEFINITIONS
Capitalized terms used in this Final Plan (as that term is defined herein) shall have the meanings
given to them in Section I below unless otherwise defined in this Final Plan or unless the context
in which a term is used clearly requires a different meaning. Unless otherwise defined, a
reference to a "Section," or an "Exhibit," shall be a reference to a Section of this Final Plan or an
Exhibit or Appendix attached to and made a part of this Final Plan for all purposes.
"Act" means Chapter 311,Texas Tax Code,Tax Increment Financing Act, as amended.
"Administrative Costs" means the actual, direct costs paid or incurred by or on behalf of the City
to administer the Zone, including planning, engineering, legal services, organizational costs,
publicizing costs, or implementations costs paid by or on behalf of the City that are directly
related to the administration of the Zone.
"Appraisal District" means the Galveston Central Appraisal District.
"Board" means the Board of Directors of the Zone.
"Captured Appraised Value" means the new taxable value generated in addition to the Tax
Increment Base on a parcel-by-parcel basis for each year during the term of the Zone, as
calculated and confirmed annually by the Appraisal District.
"City" means the City of Friendswood, Texas.
"City Council" means the governing body of the City.
"City TIRZ Increment" means one hundred percent (100%)of the City's ad valorem real property
taxes collected and received by the City on the Captured Appraised Value in the Zone and
deposited into the TIRZ Fund.
"Designation Ordinance" means Ordinance No. 2024-17, adopted by the City Council on June 3,
2024.
"Feasibility Study" means the economic feasibility study as evaluated over the term of the Zone
and focused only on direct financial benefits, as shown on Exhibit E.
"Final Plan" means this Project Plan and Reinvestment Zone Financing Plan for the Zone.
"Non-Project Costs" means those certain costs that are incurred or expended by third parties to
develop projects that benefit the Zone, but will not be financed by the Zone, as described in
Section 6, and shown on Exhibit B.
"Project Costs" means the total costs for projects in the Zone, including the actual costs of
financing the Public Improvements and the Administrative Costs.
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD 2
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN
"Property" means the 326.52 acres of land within the boundaries of the Zone, as depicted on
Exhibit A and identified by parcel number on Exhibit H.
"Public Improvements" means the proposed public improvements to be financed by the Zone,
which includes streets, detention, water, sanitary sewer, sanitary lift stations, clearing and
grubbing,earthwork, paving and grading, landscaping, intersection signalization,storm drainage,
street lights, and a public fire water loop, as detailed on Exhibit C and depicted on Exhibit G.
"Tax Increment Base" means total appraised value of taxable real property in the 7one at the
time of designation of the Zone, as calculated and certified by the Appraisal District.
"TIRZ Fund" means the tax increment fund created and established by the City for the Zone and
segregated from all other funds of the City.
"Zone" means the Reinvestment Zone Number Two, City of Friendswood, Texas.
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD S
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN
SECTION 2: INTRODUCTION
2.1 Authority and Purpose
The Zone was designated by the City Council on June 3, 2024, pursuant to the Designation
Ordinance, in an area within the corporate limits of the City covering 326.52 contiguous acres.
The purpose of the Zone is to facilitate such development or redevelopment by financing the
costs of public works, public improvements, programs, and other projects benefiting the Zone,
plus other costs incidental to those expenditures, all of which costs are authorized by the Act.
2.2 Zone
The Zone is located within the corporate limits of the City. The Property within the Zone is
predominately open and undeveloped; and, because of the following factors, the sound growth
of the City is substantially impaired or arrested: (i)the lack of public infrastructure, including, but
not limited to, the absence of an adequate roadway network, the absence of a regional lift
station, and the insufficiency of existing force main and water lines, which cause water pressure
issues during peak demand; and (ii)the barriers to development presented by the former use of
portions of the Property as an oil field.
Various corporations and developers have studied the Property within the Zone for possible
development, including, but not limited to, the national supermarket chain Kroger, the
multinational retailer Walmart,and the global real estate development company Hines,but none
of these corporations or developers has pursued the development of the area within the Zone
due to factors including the lack of public infrastructure and the substantial cost to construct the
same, as well as barriers to development presented by the former use of portions of the Property
within the Zone as an oil field.
Due to its size, location, and physical characteristics, including the lack of public infrastructure
and the barriers to development presented by the former use of portions of the Property as an
oil field, and due to the substantial cost to construct the necessary public infrastructure,
development of the Property within the Zone will not occur solely through private investment in
the foreseeable future. Because of the aforementioned characteristics, economic incentives are
necessary to attract development for the purpose of providing long-term economic benefits,
including, but not limited to, an increased real property tax base for all taxing units in the Zone.
2.3 Goals
Goal 1: Infrastructure Improvements
The construction of public infrastructure within the Zone is required to create an environment
that will stimulate private investment in retail, residential, office and commercial developments.
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD 4
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PI AN
If the Public Improvements are financed as contemplated by this Final Plan, the Property can be
developed to take full advantage of the opportunity to bring to the City a quality development
that offers a corresponding increase in the tax base and creates economic opportunity.
Goal 2: Economic Development
In addition to direct investment in capital improvements to public infrastructure or investment
in public infrastructure to stimulate private investment, the Board hereby establishes and
provides for the administration of an economic development program to incentivize private
enterprise in the Zone and serve as a catalyst for other business developments pursuant to
Section 311.010(h) of the Act and Chapter 380 of the Texas Local Government Code. The Zone's
economic development program may include making grants and loans from the TIRZ Fund in an
aggregate amount not to exceed the amount of City TIRZ Increment paid into the TIRZ Fund for
activities that benefit the Zone and stimulate business and commercial activity in the Zone and
may also be paired with other financing mechanisms as approved by the City Council.
SECTION 3: DESCRIPTION AND MAPS
3.1 Existing and Proposed Uses of Land (Section 311.011(b)(1) of the Act)
The Property within the Zone is currently zoned Commercial Shopping Center and Single Family
Residential and is intended to be developed with commercial and residential uses. Portions of
the Property were formerly used as an oil field, which creates barriers to development. The
Property is undeveloped, and there is limited public infrastructure to support development,
including, but not limited to, the absence of an adequate roadway network, the absence of a
regional lift station, and the insufficiency of existing force main and water lines, which cause
water pressure issues during peak demand. Development requires extensive public
infrastructure that(1)the City can not provide, and (2)will not be provided solely through private
investment in the reasonably foreseeable future. The proposed uses of the Property include
retail, commercial, office, and single family residential development. Existing and proposed uses
of the Property within the Zone are shown on Exhibit F.
SECTION 4: PROPOSED CHANGES TO ORDINANCES, PLANS, CODES, RULES, AND
REGULATIONS
4.1 Proposed Changes of Zoning Ordinances, Master Plan of Municipality, Building Codes,
and Other Municipal Ordinances(Section 311.011(b)(2) of the Act)
The Property within the Zone is wholly located in the corporate limits of the City and shall be
subject to the City's zoning regulations.The Property is currently zoned as Commercial Shopping
Center and Single Family Residential. The City has jurisdiction over the subdivision and platting
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN
of the Property and the design, construction, installation, and inspection of water, sewer,
drainage, roadway, and other public infrastructure. No proposed changes to zoning ordinances,
comprehensive plan, building codes, subdivision rules, or other municipal ordinances are
planned.
SECTION 5: RELOCATION OF DISPLACED PERSONS 1
5.1 Method of Relocating Persons to be Displaced, if any, as a result of implementing the
Project Plan (Section 311.011(b)(4)of the Act)
No person shall be displaced due to the implementation of the Final Plan.
SECTION 6: ESTIMATED NON-PROJECT COSTS
6.1 Estimated Non-Project Costs (Section 311.011(b)(3) of the Act)
Non-Project Costs are costs that will be incurred or expended by third parties for development
of projects that benefit the Zone, but will not be financed by the Zone. Non-Project Costs will be
derived from other funding sources, including private funds. The list of Non-Project Costs, the
total cost of which is estimated to be to be approximately $516,279,621, is shown on Exhibit B.
SECTION 7: PROPOSED PUBLIC IMPROVEMENTS
7.1 Proposed Kind, Number and Location of all Proposed Public Works or Public
Improvements to be Financed by the Zone (Section 311.011(c)(2)of the Act)
The Public Improvements include streets, detention, water, sanitary sewer, sanitary lift stations,
clearing and grubbing, earthwork, paving and grading, landscaping, intersection signalization,
storm drainage, street lights and a public fire water loop. All Public Improvements shall be
designed and constructed in accordance with all applicable City standards and subject to
inspection, approval and acceptance by the City. The locations of the proposed Public
Improvements are depicted on Exhibit G.
SECTION 8: ESTIMATED PROJECT COSTS
8.1 Estimated Project Costs(Section 311.011(c)(1) of the Act)
T"he estimated Project Costs for the Zone are detailed on Exhibit C and include the Administrative
Costs. The dollar amounts set forth in Exhibit C are approximate and may be amended from time
to time by the Board with the approval of the City Council consistent with state law. The Project
Costs are estimated to be $99,732,813.
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENOSWOOO G
PROJECT PLAN ANI)REINVESTMENT ZONE FINANCING PLAN
8.2 Administrative Costs
The Administrative Costs are estimated to be$4,711,815. The Administrative Costs shall be paid
each year from the TIRZ Fund before any other Project Costs are paid. The estimated
Administrative Costs are the costs over the life of the TIRZ and can only be paid if there are
available funds.
8.3 Estimated Time When Related Costs or Monetary Obligations Incurred (Section
311.011(c)(5) of the Act)
The Administrative Costs will be incurred annually throughout the duration of the Zone. It is
estimated that the other Project Costs set forth in Exhibit C will be incurred between 2025 and
2030, as shown on Exhibit D.
1 SECTION 9: ECONOMIC FEASIBILITY
9.1 Economic Feasibility (Section 311.011(c)(3) of the Act)
The Feasibility Study for the Zone was prepared in May 2024 by P3Works, LLC with data provided
by the City and the prospective developers of the Property within the 7one and is attached as
Exhibit E. The Feasibility Study focuses on only direct financial benefits (i.e. ad valorem tax
revenues generated from development within the Zone). Based on the Feasibility Study, during
the term of the Zone, new development, which would not occur solely through private
investment in the reasonably foreseeable future, will generate approximately $105,343,542 in
total new real property tax revenue for the City over the remaining term of the Zone.
Approximately $105,343,542 in City TIRZ Increment will be deposited into the TIRZ Fund to pay
for Project Costs over the remaining term of the Zone. The cumulative City TIRZ Increment as
shown in the Feasibility Study revenue schedule set forth in Exhibit E exceeds the estimated
Project Costs and will be generated in amounts sufficient to fund the Project Costs as and when
such Project Costs are incurred during the term of the Zone. The remainder of the new City real
property tax revenue generated within the Zone and retained by the City is estimated to be $0
over the term of the Zone.
Based on the foregoing, the economic feasibility of the Zone has been demonstrated. The Board
and the City find and determine that the Final Plan is economically feasible.
SECTION 10: ESTIMATED BONDED INDEBTEDNESS
10.1 Estimated Amount of Bonded Indebtedness (Section 311.011(c)(4) of the Act)
Issuance of notes and bonds by or on behalf of the Zone may occur as tax increment revenues
allow. The value and timing of the issuance of notes or bonds will correlate to debt capacity as
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD
PROJECT PLAN AND REINVESTMENT LONE FINANCING PLAN
derived from the revenue schedule set forth in Exhibit E, as well as actual market conditions for
the issue and sale of such notes and bonds.
SECTION 11: APPRAISED VALUE
11.1 Current Total Appraised Value of Taxable Real Property (Section 311.011(c)(7) of the
Act)
The Tax Increment Base is estimated to be $7,301,156 and shall be confirmed by the Appraisal
District. Each year, the Appraisal District shall confirm the Captured Appraised Value of the Zone.
11.2 Estimated Captured Appraised Value During Each Year of Existence (Section
311.011(c)(8)of the Act)
The estimated Captured Appraised Value for the duration of the Zone is set forth in Exhibit E. It
is estimated that upon expiration of the term of the Zone,the total Captured Appraised Value of
taxable real property in the Zone will be approximately$937,591,533,as shown on Exhibit E.The
actual Captured Appraised Value, as certified by the Appraisal District each year,will be used to
calculate the annual payments by the City into the TIRZ Fund.
SECTION 12: METHOD OF FINANCING
12.1 Methods and Sources of Financing Project Costs and Percentage of Increment from
Taxing Units Anticipated to Contribute Tax Increment to the Zone(Section 311.011(c)(6)of the
Act)
Tax increment will consist of contributions from the City.The City will deposit into the TIRZ Fund
each year the City Tax Increment, which is 100% of the City's ad valorem real property taxes
collected and received by the City on the Captured Appraised Value in the Zone. For example,
in tax year 2023, the City's ad valorem tax rate was $0.500728 per $100 of taxable value, so
the City would contribute $0.500728 per $100 of the Captured Appraised Value in the Zone
levied and collected to the TIRZ Fund.
The City Tax Increment deposited into the TIRZ Fund shall be prioritized and allocated on a parcel
by parcel basis as follows:
1. For Administrative Costs; then
2. For the annual payments of debt service of any tax increment bonds issued to fund
the Public Improvements; then
3. To be used in any other manner authorized by the City Council and as allowed
pursuant to the Act, including for payments by the City to any third party for
Project Costs under an agreement entered into pursuant to Section 311.010(b)of
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN
the Act and, if and as applicable, Chapter 372,Texas Local Government Code, and
Chapter 380,Texas Local Government Code; then
4. To the extent there are TIR7 Fund revenues remaining, any excess TIRZ Fund
revenues may be utilized in any other manner as authorized by the City Council
and allowed pursuant to the Act.
All payments of Project Costs shall be made solely from the TIRZ Fund and from no other funds
of the City, unless otherwise approved by the City Council.
SECTION 13: DURATION OF THE ZONE, TERMINATION
13.1 Zone Duration (Section 311.011(c)(9) of the Act)
The stated term of the Zone shall commence upon the execution of the Designation Ordinance
and shall continue until December 31,2054,with the last payment being due by January 31, 2055,
unless otherwise terminated in accordance with the Designation Ordinance. If upon expiration
of the stated term of the Zone,the obligations of the Lone have not been fully funded by the TIRZ
Fund, the City shall have no obligation to pay the shortfall and the term shall not be extended.
Nothing in this Section is intended to prevent the City from extending the term of the Zone in
accordance with the Act upon approval of the City Council.
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD q
PROJECT PI AN AND REINVESTMENT ZONE FINANCING PI AN
LIST OF EXHIBITS
Unless otherwise stated, all references to "Exhibits" contained in this Final Plan shall mean and
refer to the following exhibits, all of which are attached to and made a part of this Final Plan for
all purposes.
Exhibit A Map of the Zone
Exhibit B Non-Project Costs
Exhibit C Project Costs
Exhibit D Estimated Timeline of Incurred Costs
Exhibit E Feasibility Study
Exhibit F Existing and Proposed Uses of the Property
Exhibit G Map of the Public Improvements
Exhibit H Parcel Identification
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENOSWOOO 10
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN
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EXHIBIT A— MAP OF THE ZONE i
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REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD 11
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN
EXHIBIT B - NON-PROJECT COSTS
Lot Valuei'1 Bulidout Valuet'i
Units/
Lot Type Sq.Ft. Per Unit Total Per Unit Total Non'Ptoject Costs
Future Wischnewsky Property
Commercial 300,000 S 28 $ 8,400,000 S 618 $ 185,400,000 $ 177,000,000
Single Family 30 $ 450,000 $ 13,500,000 $ 2,000,000 $ 60,000,000 5 46,500,000
Subtotal 300,030 $ 223,500,000
Future Bolysil Property
Single Family 60 $ 70,000 $ 4,700,000 $ 400,000 $ 24,000,000 $ 19,800.000
Commercial 75,000 5 28 $ 7,100,000 $ 618 $ 46,350,000 $ 44,250,000
Subtotal 75,060 $ 64,050,000
Falling teal Ranch
Single Family 37 5 450,000 $ 16,650,000 5 2,000,000 5 74,000,000 5 57,350,000
Subtotal 3/ $ 57,350,000
The Estates at Wildnerness Trails
Single Family 41 $ 450,000 S 18.450,000 $ 2,000,000 $ 82,000,000 $ 63,550,000
Subtotal 41 S 63,550,000
Castle Biosciences
Commercial 80,000 $ 28 $ 2,240,000 $ 618 5 49,440,000 $ 47,200,000
Retail 30,000 $ 124 $ 3,710,379 S 550 S 16,500,000 $ 12,789,621
Office 80,000 $ 20 5 1,600,000 S 618 S 49,440,000 S 47,1140,000
Subtotal 190,000 $ 107,8I9,621
Total 565,168 S S16,279,621
Footnotes:
lal Values and Units/Sq.Ft.as provided by the City and Developer on April 29,2024 and May 3,2024.May not be representative of this area or this
development.
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD 1?
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN
EXHIBIT C- PROJECT COSTS
Reinvestment Zone Number Two,City of Friendswood,Texas
Project Costs
item Cost
City Public Improvementst'
Baker Road 12"Water Line $ 2,744,712
Friendswood Parkway 16"Water Line $ 10,836,619
Friendswood Parkway $ 7,074,373
North Eagle Creek 12"Water Line $ 1,372,356
Site Mitigation Plan $ 75,000
Subtotal $ 22,103,060
The Estates at Wilderness Trailsi'i
Site Preparation 5 660,615
Friendswood Parkway 5 1,904,897
Clearing,Grubbing&Demolition 5 100,496
Earthwork,Paving&Grading $ 1,911,508
Water Distribution System $ 1,268,400
Storm Drainage $ 570,000
Detention $ 439,669
Sanitary Sewer System $ 2,736,810
Sanitary Lift Station $ 1,600,000
Striping&Signage $ 100,000
Street Lights $ 50,000
Contingency $ 2,252,241
Soft Costs $ 2,765,499
Subtotal $ 16,366,135
Falling Leal Rancht'1
Site Preparation $ 777,194
Friendswood Parkway $ 3,081,466
Clearing,Grubbing&Demolition $ 150,744
Earthwork,Paving&Grading $ 2,739,298
Water Distribution System $ 2,265,000
Storm Drainage 5 883,500
Detention $ 681,488
Sanitary Sewer System $ 4,045,719
Striping&Signage $ 100,000
Street Lights $ 50,000
Contingency $ 2,943,724
Soft Costs $ 3,626,684
Subtotal $ 21,344,817
Future Bofysil Propertyt't
Site Preparation $ 738,334
Clearing,Grubbing&Demolition $ 50,248
Earthwork,Paving&Grading $ 913,099
Water Distribution System $ 453,000
Storm Drainage 5 313,500
Detention $ 241,818
Sanitary Sewer System $ 1,665,884
Contingency $ 881,458
Soft Costs $ 1.089,154
Subtotal $ 6,346,495
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENOSWOOD 13
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN
Reinvestment Zone Number Two,City of Friendswood,Texas
Project Costs
Item Cost
Future Wischnewsky Propertylal
Site Preparation $ 777,194
Friendswood Parkway $ 7,493,597
Clearing,Grubbing& Demolition $ 125,620
Earthwork, Paving&Grading $ 2,374,058
Water Distribution System $ 1,812,000
Storm Drainage $ 741,000
Detention $ 571,570
Sanitary Sewer System $ 3,450,760
Sanitary Lift Station $ 1,600,000
Striping&Signage $ 100,000
Street Lights $ 50,000
Contingency $ 3,804,862
Soft Costs $ 4,644,347
Subtotal $ 27,545,008
Castle Biosciences Projectsibl
Clearing,Grubbing&Site Preparation $ 216,040
Land $ 1,702,216
Landscaping $ 44,804
Public Fire Loop $ 258,500
Public Storm Water Collection System $ 657,800
Detention Basin $ 627,520
Friendswood Parkway Road Extension $ 1,148,222
Financing Costs $ 609,501
Soft Costs $ 762,694
Subtotal $ 6,027,298
Subtotal Public Improvementsial $ 99,732,813
Administrative Costs $ 4,711,815
Total Project Costs $ 104,444,628
Footnotes:
[a)As identified by the City, based on the City Engineer's Opinion of Probable
Cost in May 2024.
[b]As provided by the Developer on August 8, 2024.
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD IA
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN
EXHIBIT D- ESTIMATED TIMELINE OF INCURRED COSTS
Reinvestment stment Zane Number Twa,City CI FritndsrboC.Texas
T,meline to Incur Proect G-•Rs
The Estate at Wilderness
Zone Calendar Coy Project.Cosa Trail Falling Leal Ranch F tint 2ofy5 l Propery Fut,,rt Wnchnrwsky Property Castle B.oscoence at 4amia Way Total Project CostPI
Year Year Annual Cumulative € Annual Cumulative Annual Cumulative I Animal Cumulative Annual Cumulative Annual Cumulative Annual Cumulative
Base 2024 S - $ • i 5 16366.135 $16,366.135 $ - 5 • 5 5 - $ 5 S 3,966,271 5 3.966.271 5 20,3321106 5 20,332,406
1 2025 S 2.819,712 S 2.819.712 I$ - S 16,366,136 $21,344,817 $21,344,617 $ - $ • $ - $ - S 485,294 $ 4,451,565 5 24.649,1523 44.982,229
2 7076 S - S 7219,717 I S - 516,366,135 $ - 5 21344.517 5 • 5 • S - 5 • $ 966,232 $ 5.417.797 5 966232 45,948,461
3 2027 5 - S 2,819,7712(5 - 5 16,366,135 5 • 5 21.344,617 56,346,495 $6,346,495 $ - $ - S 216,712 5 5.634.509 $ 6,563207 52,511,668
4 2028 S • 5 2,819.712 15 - 5 16,366,135 5 - 5 21,344,827,5 • $6.346,495 $ $ - 5 159,699 $ 5.794,208 S 159,699 52,671,367
5 2029 $ - S 2.8I9,712 1$ - 5 16,366,135 $ - $21,344.817 5 • 5 6,346,495 $ - S - $ 131,088 S 5,925,296 5 131.088 52,802455
6 2030 5 19,283,148 5 22,103.060 l 5 $16,366,135 5 - 5 2L344,817 S S 6.346 495 5 27.545,008 $27.545,008 $ 102.002 S 6.027.298 S 46.930358 99,732.813
Total S 22.103,060 $16,366,135 S 21,344.817 S 6,346.495 $27.545,008 S 6,027298 $ 99.7321113
Footnotes
jaj Does not,ilustrate tdmm Mabee Costs,which shall be incurred annually For the curator,of the Zone.
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD 15
PROTECT PLAN AND REINVESTMENT ZONE FINANCING PLAN
EXHIBIT E— FEASIBILITY STUDY
As set forth in the revenue schedule below, during the term of the Zone, City TIRZ Increment will be generated in
amounts sufficient to fund the Project Costs set forth in Exhibit C as and when such Project Costs are incurred.
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD 16
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN
Reinvestment Zone Number Two, r
Feasibility • a
.
Zone Tax Growth/ Added Development City Gross hew Revenue tZIR2 Lund Contribution .. • Retain' ed New*erenue
Year Year Year Vatuen" New Taxable Value Incremental Value Annual Cumulative I% Annua Cum u atve Annual Cumulative
Base 2024 $ 7,303,156
1 2025 2.0% S 82 000,000 5 89,449,219 $ 82,146,063 5 - 5 - 100% 5 - 5 S - 5
2 2026 2.0% 5 326.234,862 $ 417,473,056 $ 410,:69520 5 411,328 $ 411,328 100% 5 411,328 5 411,328 5 - 5 •
3 2027 2.0% $ 144 555,153 $ 570,377,680 5 563,074,524 5 2,053,836 $ 2,465,164 100% $ 2,053,836 5 2,465,160 $ - 5 -
4 2028 2.0% 5 43 186,991 $ 630,972,224 $ 623,669,068 $ 2,819,472 $ 5,284,636 100% $ 2,819,472 5 5,284,636 $ - 5 -
5 2029 2 0% 5 • $ 643,591,658 5 636,288,5:2 $ 3,122,886 $ 8,407,521 100% $ 3,122,886 S 8,407,521 5 - 5 -
6 2030 2.0% 5 - $ 656,463,502 5 649,160,346 5 3,186,075 $ 11,593,596 100% S 3,186,075 $ 11,593,596 5 - 5 -
7 2031 2.0% $ • $ 669,592,772 5 662,289,616 5 3,250,528 5 14,844,124 100% 5 3,250,528 $ 14,844,124 $ 5 -
8 2032 2.0% $ - $ 682,984,627 5 675,681,471 5 3,316,270 S 18,160,393 100% $ 3,316,270 5 18,160,393 5 - 5 -
9 2333 0.0% 5 - 5 682,984,627 $ 675,681,471 $ 3,383,326 $ 21,543,720 100% 5 3,383,326 S 21,543,720 5 - 5 -
10 2034 0.0% 5 - $ 682,984,627 5 675,681 471 5 3,383,326 $ 24,927,046 100% 5 3,383,326 $ 24,927,046 5 - 5 -
11 2035 2.0% 5 - 5 696,644,320 5 689,341,164 S 3,383,326 5 28,310,372 100% $ 3,383,326 $ 28,310,372 $ - 5 -
12 2036 2.0% $ - 5 710,577,206 $ 703,274,050 S 3,451,724 $ 31,762,096 100% $ 3,452,724 S 31,762,096 $ - S -
13 2037 2.0% 5 - 5 724,788,750 5 717,485,594 5 3,521,490 $ 35,283,587 100% 5 3,521,490 $ 35,283,587 S - 5 -
14 2038 2.0% $ • $ 739,284,523 $ 731,981,369 $ 3,592,651 5 38,876,238 100% S 3,592,651 $ 38,876,238 S - 5
15 2039 2.0% $ S 754,070,216 $ 746,767,060 $ 3,665,236 5 42,541,473 100% $ 3,665,236 5 42,541,073 S - 5 •
16 2040 2.0% 5 • 5 769,151,620 5 761,808,464 $ 3,739,272 5 46,280,745 100% $ 3,739,272 $ 46,280,745 5 - $
17 2041 2.0% 5 - S 784,534,653 $ 777,231,497 $ 3,814,789 $ 53,395,534 100% $ 3,814,789 $ 50,095,534 S - S
18 2042 2.0% 5 $ 300,225,346 $ 792,922,190 $ 3,891,8:6 5 53,987,350 100% 5 3,891,816 S 53,987350 5 - $
19 2043 0.0% 5 - 5 300,225,346 $ 792,922,190 5 3,970,383 5 57,957,733 100% $ 3,970,383 $ 57,957,733 S - 5 -
20 2044 0.0% S • $ 300,225,346 $ 792,922,190 $ 3,970,383 5 61,928,116 100% $ 3,970,383 5 61,928,116 S - $
2: 2045 2.0% 5 - $ 816,229,853 $ 808,926,697 $ 3,970.383 $ 65,898,500 100% 5 3,970,383 5 65,898,530 $ - 5 -
22 2046 2.0% 5 5 332,554,450 5 825,25,,294 5 4,053,522 $ 69,949,022 100% 5 4,050,522 5 69,949,022 S - 5
23 2047 2.0% $ S 849,205,539 5 841,902,383 5 4,132,264 S 74,381,287 100% $ 4,132,254 5 74,081,287 $ - $ -
24 2048 2.0% 5 - $ 866,189,6.49 5 858,886,493 $ 4,215,641 $ 78,296,928 100% $ 4,215,641 $ 78,296,928 5 - 5
25 2049 2.0% 5 - $ 883,513,442 $ 876,210,286 $ 4,300,685 5 82,597,613 100% 5 4,300,685 $ 82,597,6:3 5 - $
26 205C 2.0% 5 $ 901,183,711 $ 893,380,555 5 4,387,43D $ 86,985,043 100% 5 4,387,430 $ 86,985,043 S - 5 -
27 2051 2.0% 5 • $ 919,207,385 5 9:1,904.229 $ 4,475,9:0 $ 91460,953 100% 5 4,475,910 5 91,460,953 5 - 5 -
28 2052 2.0% 5 5 937,591,533 5 930,288,377 5 4,566,160 $ 96,027,113 100% 5 4,566,153 $ 96,027,1:3 5 - $ -
29 2053 0.0% 5 - 5 937,591,533 5 930,288,377 $ 4,658,214 5100,685,327 100% 5 4,658,214 5 :00,685,327 5 - $
30 2054 0.0% 5 - 5 937,591,533 $ 930,288,377 5 4,658,2:4 $105,343,542 100% 5 4,658,214 5 :05,343,542 5 - S -
Total 5 601.977,006 $105,343,542 105,343,542 -
Footnotes
Base"axab+e Value'' 7,303,156 00 ;al Values increased at 2%ar^Lally,with two years of no growth each decade to simulate an econo^vc downturn.
City AV Rate 0 5037 t*I Based on project development data as 3-ovided by the City and Deve opens on May 13,2024 ant A..gust 14,2C24
tz)As prov ded b}the Appra sal D,str ct
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD 17
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN
EXHIBIT F — PROPOSED AND EXISTING USES OF THE PROPERTY
TIRZ #2 Existing zoning/land use with Friendswood Parkway
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REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENCSWOOD 18
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN
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REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD 29
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN
EXHIBIT G— MAP OF THE PUBLIC IMPROVEMENTS
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REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWO00
PROJECT PLAN AND REINVESTMENT ZONE FINANCN\G PLAN
EXHIBIT H - PARCEL IDENTIFICATION
Property ID Taxable Value Acreage
384718 $ 1,531,000 12.26
362752 $ - 3.000
384717 $ 3,920 49.02
186301 $ 33.02
186314 $ - 2.13
184158 $ 66,090 I 5.51
184157 $ 27,680 2.31
184156 $ 30,730 2.56
184159 i $ 66,210 5.52
184155 $ 30,910 2.58
184160 $ 27,860 2.32
184161 $ 30,190 2.52
184154 $ 27,910 2.33
184118 $ 2,951,940 38.44
184153 $ 29,800 2.48
184120 $ 36,470 5.21
184152 $ 29,800 2.48
184123 $ 133,120 21.13
184151 $ 29,800 2.48
184150 $ 29,950 2.5
184122 $ 165,980 40.07
184149 $ 51,760 4.32
184148 $ 30,010 2.5
171534 $ 114,000 9.5
720416 $ 668,976 2.13
186284 $ 593,350 14.47
233008 $ 1,260 15.75
755896 $ 1,860 23.23
407325 $ 592,580 2.77
REINVESTMENT ZONE NUMBER TWO,CITY OF FRIENDSWOOD ?I
PROJECT PLAN AND REINVESTMENT ZONE FINANCING PLAN