06-A K-C Nom Enterprise Project
DRAFT
F:ATTORNEY\ORDWORK\CURRENT\K-C TX CIP Nominating Ord
September 28, 2005
ORDINANCE NO.
AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PARIS
AUTHORIZING THE CITY OF PARIS TO PARTICIPATE IN THE
TEXAS ENTERPRISE ZONE PROGRAM UNDER THE TEXAS
ENTERPRISE ZONE ACT, CHAPTER 2303, TEXAS GOVERNMENT
CODE; PROVIDING TAX INCENTIVES; NOMINATING KIMBERLY-
CLARK CORPORATION TO THE OFFICE OF THE GOVERNOR
ECONOMIC DEVELOPMENT AND TOURISM THROUGH THE
ECONOMIC DEVELOPMENT BANK FOR DESIGNATION AS A
QUALIFIED BUSINESS AND DOUBLE JUMBO ENTERPRISE
PROJECT UNDER THE ACT; DESIGNATING A LIAISON FOR
OVERSEEING ENTERPRISE PROJECTS AND COMMUNICATING
WITH INTERESTED PARTIES; MAKING OTHER FINDINGS AND
PROVISIONS RELATED TO THE SUBJECT; AND DECLARING AN
EFFECTIVE DATE.
WHEREAS, the City of Paris, Texas ("the City") desires to create the proper economic
and social environment to induce the investment of private resources in productive business
enterprises located in severely distressed areas of the City and to provide employment to
residents of those areas; and,
WHEREAS, Kimberly-Clark was previously designated an Enterprise Project on
December 22, 1999, with an expiration date of December 22, 2004, by the Texas Department of
Economic Development and successfully completed all elements of its designation; and,
WHEREAS, Kimberly-Clark continues to be a major employer for the City of Paris;
and,
WHEREAS, the Texas Enterprise Zone Act, Chapter 2303, Texas Government Code, as
amended, (the "Act") authorizes the designation of enterprise projects within an enterprise zone
(or, if the requirements of Section 2303.402 (a) (2) of the Act are met, within an area that does
not qualify as an enterprise zone); and,
WHEREAS, under the 2003 amendments to the Act, the Act is now administered by the
Office of the Governor Economic Development and Tourism ("OOGEDT") through the Texas
Economic Development Bank ("Bank"); and,
WHEREAS, with proper notice to the public, a public hearing to consider this ordinance
was held on Monday, October 10, 2005, during a regular meeting of the City Council, Love
Civic Center, 2025 S. Collegiate Drive, in Paris, during which all interested persons were
allowed to appear and be heard; and,
WHEREAS, the City Council has determined that passage of this Ordinance would best
serve the public health, necessity, and convenience and the general welfare of the City and its
citizens; NOW, THEREFORE,
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BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF PARIS, PARIS,
TEXAS:
Section 1. That the findings set out in the preamble to this ordinance are hereby in all
things approved.
Section 2. That as required by Section 2303.4051 (b) of the Act, the City's local
incentives available in each area within an enterprise zone and in each area not in an enterprise
zone are identified and summarized briefly in the attached Exhibit A; and at least one of the
local incentives is unique to the enterprise zone area. The City is in full compliance with the
Act.
Section 3. That the City finds that KIMBERLY-CLARK CORPORATION. ("Kimberly-
Clark"), or its successor in interest, meets the criteria for designation as an enterprise project
under the Act on the following grounds:
(a)
(b)
(c)
(d)
(e)
Kimberly-Clark is a "qualified business" under Section 2303.402 of the Act
because it is engaged in the active conduct of a trade or business at a qualified
business site and at least thirty-five (35%) percent of its new employees at the
qualified business site will be residents of an enterprise zone in this state or
economically disadvantaged individuals;
The Kimberly-Clark project is qualified under Section 2303.404 of the Act
because (1) it involves "an expansion, renovation, or new construction"; (2) it will
be completed within a predetermined period not to exceed five years; and (3)
Kimberly-Clark maintains separate books and records for the Paris manufacturing
operations;
There has been and will continue to be a high level of cooperation between
public, private, and neighborhood entities within the jurisdiction of the City;
The designation of Kimberly-Clark as an enterprise project will contribute
significantly to the achievement of the plans of the City for development and
revitalization of the area in which the enterprise project will be located; and
Kimberly-Clark qualifies for job retention benefits under Section
2303.406(a)(4)(D) because Kimberly-Clark expects a ten percent (10%) increase
in production capacity.
Section 4. That Kimberly-Clark qualifies as a Double Jumbo Enterprise Project as
defined in Section 2303.407 (b) (6) and Section 2303.407 (d) of the Act because Kimberly-Clark
will be making a capital investment in a project in excess of $150,000,000. The City finds that it
is in the best interest of the City to nominate Kimberly-Clark as a Double Jumbo Enterprise
Project under the Act.
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Section 5. That the City nominates Kimberly-Clark as a Double Jumbo Enterprise
Project under the Act and designates the City Community Development Director or her designee
as liaison to oversee enterprise projects nominated by the City and to perform the other duties
described in Section 2303.204 of the Act. The City authorizes the City Community Development
Director or her designee to file an application requesting designation of Kimberly-Clark as a
Double Jumbo Enterprise Project with the Bank, and to execute all documents and agreements
necessary to process the application. Further, the City directs the City Community Development
Director or her designee to submit to the Bank the information required by section 2303.4052 of
the Act.
Section 6. That the City finds that Kimberly-Clark meets the criteria for tax relief and
other incentives adopted by the City and that Kimberly-Clark will be located wholly within the
qualified business site and will retain jobs and increase economic activity and stability. As
required by Section 2303.4051 (c) (2) of the Act, the City's local incentives, including tax
incentives, that, at the election of the City Council, are or will be made available to Kimberly-
Clark, the nominated project, are identified and summarized briefly in the attached Exhibit B.
Section 7. That upon approval of the Bank, the Double Jumbo Enterprise Project will be
named KIMBERLY-CLARK CORPORATION PROJECT ("Project").
Section 8. That the Enterprise Project designation must be for a predetermined
designation period approved by the Bank, with a beginning date and ending date for the Project;
and the designation period for the Project may not exceed five (5) years from the date on which
the designation is made, as required by Section 2303.404 of the Act. Kimberly-Clark and the
City request that the Bank approve December 1, 2005, as the beginning date and December 1,
2010, as the ending date of the Project.
Section 9. That the enterprise zone areas within the City are reinvestment zones in
accordance with the Texas Tax Code, Chapter 312.
Section 10. That the Paris areas that meet the 2003 requirements in Section 2303.101 of
the Act for automatic qualification for designation as an enterprise zone are shown in the
attached Exhibit C.
Section 11. That this ordinance shall be effective following passage and publication as
required by law.
PASSED, APPROVED, AND ADOPTED this 10th day of October, 2005.
Curtis Fendley, Mayor
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ATTEST:
Janice Ellis, City Clerk
APPROVED AS TO FORM:
Larry W. Schenk, City Attorney
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Exhibit A
Incentives offered by the City of Paris
N~1m_C.__o__r h.1Cc.l1tive D\;;,'scriptio, 1.1 of I_ll_c.entin.:.' ... f\ vailability
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1
2
3
4
unicipal sales and
se tax re fund
5
6
7
8
9
10
11
I
e City may abate taxes on th~
'ncrease in value ofreat propeny
improvements and tangible personal
ropeny that locate in a designated
enterprise ZOne up to 1000/0 of the
stimated total tax increase to be levied
n the proposed propeny improvements
for a tenn not to exceed ten 10 ears. Cit -wide
inancing through the creation of tax
.ncre:ment reinvesnnent zones. Cit -wide
The City may offer low-interest Joans to
develo or revitalize the zone. Cit -wide
he City may refund the amount of tax
aid under IDe Municipal Sales and Use
ax (Texas Tax Code~ Chapter 321) by
e business and remitted 10 the
Comptroller of Public Account up to the
aximum extent auÙ1orized by Sections
303.505 and 2303.506 of the Act~ and
for a period determined by the CitY1 but
ruch shall not exceed five (5) ears, Cit '-wide
Ta.x~Exem t Industrial Bonds,
e City may waive Or refund any and
aU a licab1e fees due or aid,
The City may provide infrastrUctUre
im rovements for industries.
Allows changes in the zoning and
vanances.
The City may a11ow permit applications
ant! supponing materials to be tendered
0 one department for distribution to the
a ro nate ci tY de anmems, Cit ~widc
Cit -wide
Cir -wide
Ci ~wide
Ci -wide
ail convenience for cit residents.
Ci -wide
Cit ~wide
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Exhibit A (Continued)
Incentives offered by the City of Paris
Nmnc of Incclltive Descri. lion of Incentive A vailabilitv
~o. c -,.. - . . ..
T
mmumty nme prevenuon programs
Community crime such as D.A.R.E., Crime Watch, Think
revention ro aIDS Ch.ild Safe. and Think Senior Safet .
The City can provide resources for a
Capital improvementS capital ijnprovement plan related to
in water and sewer ater and sewer service.
e City is responsible for maintaining
and repairing all public streets and alleys
utside cit limits, Cit -wide
aintain healthy lifestyle for city
esidents. Parks are located in city
limits and are the responsibility of city
ovemment.
Encourage home ownership for city
esidents.
S~~egic sus~ance and groWth for the
oses Cl .
Lamar County Chamber of
Commerce and Paris Economic
eve1o menr Co OI'arion. Cit -wide
Offered in conjuncùon with Paris Junior
Cone e. Cit -wide
ffered in conjunction with Paris Junior
Colle e. Cit -wide
12
13
-.
14
15
16
17
18
19
Job trainin
20
21
22
ocationa1 education
23
Cash ants
I
Cit -wide
City-wide
Ci -wide
it -wide
Cit -wide
-.
Exhibit B
Incentives that may be considered and offered by the City of Paris to
Nominated Texas Enterprise Zone Projects
.. -
Nanle of Incentive . Description of I.ncel1tive. Availability
.
1
aive fees associated with tax
batement a lication.
nterpnse Zone
ojects I Enterprise
one areas on a Case-
-Case Basis
nterprise Zone I
Where ApplicableJ
CitY-wide
".
a cabe-b .cast basis.
2
Exhibit A
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Exhibit C
Paris Areas meeting the 2003 Requirements for
Texas Enterprise Zone (Sections 2303.101 and 2303.109)
CL'lhLh JI-~Ict 1~lnck (inHIl Ik"i~luti\)11
5 1 ensus Block Grou
5 3 ensus Block Grou
5 4 Census Block Grou
6 1 ensus Block Grou
6 2 ensus Block Grou
6 3 ensus Block Grou
6 4 ensus Block Grou
7 1 Census Block Groll
8 1 ensus Block Grou
8 2 ensus Block Grou
8 3 ensus Block Grou
10 1 ensus Block Grou
1
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