Item 4E - BylawsM E M O R A N D U M
June 18, 2019
To: Shana Yelverton, City Manager
From: Sharen Jackson, Chief Financial Officer
Subject: Resolution No. 19-024, Amending the bylaws of the Southlake
Tax Increment Reinvestment Zone Number One
Action
Requested: Approval of Resolution No. 19-024 to amend the bylaws of
the Tax Increment Reinvestment Zone Number One “TIRZ
#1”.
Background
Information: The purpose of this item is to amend the bylaws of the
Southlake TIRZ #1 to reflect changes to the zone following
the Zone’s extension in 2018. In August 2018, the TIRZ #1
Board and the City Council approved the Amended Project
and Financing Plan to (1) Extend the life of the zone for an
additional 20 years; and (2) Amend the project and financing
plan to include project costs related to public buildings and
facilities (including Carroll ISD facilities located within the
zone), public parks, general infrastructure, technology
infrastructure, operations and maintenance.
The extension included the City and Carroll ISD as the only
participating entities. The reduction of participating entities
necessitates a bylaw amendment to reduce the number of
board members. The amendment removes representatives
from non-participating entities from the board. The
amendment also proposes adjusting the board members
terms to 3 years from 2 years, to better align with City
Council member terms.
The Southlake TIRZ #1 Board recommended the proposed
changes at their December 4, 2018 meeting.
Financial
Considerations: The City Attorney has reviewed the revised bylaws.
Strategic Link: B2: Collaborate with select partners to implement service
solutions; F2 Invest to provide and maintain high-quality
public assets
Citizen Input/
Board Review: TIRZ #1 Board recommended the proposed changes at their
December 4, 2018
Item 4E
Page 2 of 2
Legal Review: The City Attorney has reviewed the revised bylaws.
Alternatives: Approve or deny resolution
Supporting
Documents: Resolution No. 19-024
TIRZ #1 Bylaws
Staff
Recommendation: Approval of Resolution No. 19-024
RESOLUTION NO. 19-024
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
SOUTHLAKE, TEXAS, TO REVISE THE BYLAWS OF THE TAX
INCREMENT REINVESTMENT ZONE NUMBER ONE, CITY OF
SOUTHLAKE, TEXAS, PROVIDING AN EFFECTIVE DATE.
WHEREAS, the City Council of the City of Southlake, Texas, after public hearing
created Tax Increment Reinvestment Zone Number One, City of Southlake, Texas, as set forth in
Ordinance No. 682, dated September 23, 1997 and 682-A, dated, December 2, 1997; and
WHEREAS, a Board of Directors was established by the City of Southlake Ordinance
No. 682, adopted September 23, 1997, to administer the Zone; and,
WHEREAS, the Board of Directors of the Tax Increment Reinvestment Zone Number
One functions in an advisory or study capacity with respect to the Zone and shall exercise only
those powers, advisory in nature, which are either granted to the board pursuant to the Act or
delegated to the Board by the City Council; and,
WHEREAS, the property and affairs of the Zone shall be managed and controlled by the
City Council of the City of Southlake, Texas, subject to the restrictions imposed by law, the
ordinance creating the Zone, and the Bylaws; and,
WHEREAS, the City Council adopted these Bylaws on August 19, 2003; and,
WHEREAS, the Bylaws provide that amendments may occur by majority vote of the
Board of Directors, provided that the Board of Directors files with the City Council a written
application requesting that the City Council approve such amendment to the Bylaws, specifying
in such application the amendment or amendments proposed to be made, and an explanation for
this amendment; and,
WHEREAS, the Board of Directors approved a request to amend the Bylaws of Tax
Increment Reinvestment Zone Number One, City of Southlake, Texas at their December 4, 2018
meeting; and,
WHEREAS, the City Council agrees with the Board of Directors to establish these
revisions to the Bylaws to remove non-participating entities board representatives;
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF SOUTHLAKE, THAT:
Section 1: The City of Southlake hereby grants authorization, in accordance with the Bylaws of
Tax Increment Reinvestment Zone Number One, City of Southlake, Texas, for the Board of
Directors of the Zone to revise the Bylaws as referenced in Exhibit “A” and which is
incorporated by reference herein.
Section 2: This resolution shall become effective after its passage and adoption by the City
Council.
PASSED AND APPROVED THIS _____ DAY OF ______________________, 2019.
______________________________
Laura K. Hill, Mayor
_______________________________
Amy Shelley, City Secretary
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Bylaws of Tax Increment Reinvestment Zone
Number One, The City of Southlake, Texas
Article 1: Powers and Purpose
Section 1: Financing Development or Redevelopment in the Zone.
In order to implement the purposes for which Tax Increment Financing Reinvestment
Zone Number One, City of Southlake, Texas (the "Zone") was formed, as set forth in
Ordinance No. 682, dated, September 23, 1997 and 682-A, dated, December 2, 1997,
creating the Zone, the City of Southlake, Texas (the "City") may issue obligations to
finance all or part of the cost of implementing the "project plan" for the Zone as defined
in the Tax Increment Financing Act of the Tax Code, Chapter 311, Vernon's Texas
Codes Annotated (the "Act").
Section 2: Books and Records, Approval of Programs and Financial Statements.
The Board of Directors shall keep correct and complete books and records of accounts
and shall also keep minutes of its proceedings and the proceedings of committees
having any of the authority of the Board of Directors. All books and records of the Zone
may be inspected by any director or his agent or attorney for any proper purpose at any
reasonable time; and at all times the City Council, the City Auditor and the Finance
Director of the City of Southlake, Texas, will have access to the books and records of
the Zone. The City Council must approve all programs and expenditures for the Zone
and annually review any financial statements of the Zone.
Article II: Board of Directors
Section 1: Powers, Number, and Term of Office.
The property and affairs of the Zone shall be managed and controlled by the City
Council of the City of Southlake, Texas (the "City Council"), subject to the restrictions
imposed by law, the ordinance creating the Zone, and these Bylaws. It is the intention
of the City Council that the Board shall function only in an advisory or study capacity
with respect to the Zone and shall exercise only those powers, advisory in nature,
which are either granted to the Board pursuant to the Act or delegated to the Board by
the City Council.
As set forth in the ordinance creating the Zone, the Board shall consist of no less than
seven and no greater than 12 members. The City Council shall appoint a total of eight
members, with one member being nominated by Carroll Independent School District
(“CISD”), and the remaining seven members at all times being the Mayor and Places 1
through 6 of the City Council. The positions occupied by the Mayor and Places 1
through 6 may sometimes hereafter be referred to as the “Council Directors.”
Page 2
CISD shall appoint one member; provided, however, that if CISD waives its right to
appoint a member to the Board, as evidenced by written resolution duly adopted by the
governing body of CISD, the City Council may appoint a member in its stead.
Each member shall serve for a term of three years, or until the member's successor is
duly appointed and qualified, or in the case of the Council Directors, when the
member’s successor becomes qualified to serve on City Council.
Any member appointed by the City may be removed from office by the City Council in
accordance with the City Charter and applicable ordinances. In the event of a vacancy
caused by the resignation, death, or removal for any reason, of a member, the
governing body of the respective taxing unit which made such appointment shall be
responsible for filling the vacancy in accordance with these bylaws, the Act, and the
ordinance creating the Zone.
Section 2: Meetings of Directors.
The Board of Directors shall hold their meetings within a public building in the city, so
as to allow the community to attend such meetings. The Board shall determine an
appropriate meeting schedule.
Section 3: Regular Meetings.
The Board shall hold regular meetings at such times and places as shall be designated,
from time to time, by minute order of the Board. The secretary shall give notice to each
director of each meeting by e-mail. Notice of all regular and special meetings of the
Board and any committees thereof shall be posted in accordance with the provisions of
the Texas Open Meetings Act, Chapter 551 of the Texas Government Code. There
shall be at least one Regular Meeting held each year during the fourth quarter of the
calendar year.
Section 4: Special or Emergency Meetings.
Special or Emergency Meetings of the Board of Directors shall be held whenever called
by the chairman, by the secretary, by a majority of the directors then in office or upon
advice of or request by the City Council. The secretary shall give notice to each
director of each Special Meeting by e-mail. Notice of all Special Meetings shall state
the purpose which shall be the only business conducted.
Section 5: Quorum.
A majority of the directors holding current appointments shall constitute a quorum for
the consideration of matters pertaining to the purposes of the Zone. The act of a
majority, in other words a quorum, at a meeting shall constitute an act of the Board of
Directors, unless law requires the act of a greater number.
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Section 6: Conduct of Business.
At the meetings of the Board of Directors, matters pertaining to the purposes of the
Zone shall be considered in such order as from time to time the Board may determine.
At all meetings of the Board, the Chairman shall preside and in the absence of the
Chairman, the Vice-Chairman shall exercise the power of the Chairman. If both
Chairman and Vice-Chairman are absent, those present shall elect someone to serve
as Chairman.
The City Secretary of the City of Southlake shall serve as Secretary of the Board, and
shall act as secretary of all meetings of the Board, but in the absence of the City
Secretary, the Deputy City Secretary may act as Secretary of the meeting. In the event
of the absence of the City Secretary and Deputy City Secretary, the presiding officer
may appoint any one person to act as Secretary of the meeting. City staff shall provide
notice of meetings and prepare meeting agendas. Within 30 days following each
meeting of the Board, the secretary shall submit a copy of the minutes of the meeting to
the Chairman of the Board.
Section 7: Compensation of Directors.
Directors shall not receive any salary or compensation for their services, whether as an
officer or just a member, except that they shall be reimbursed for their actual expenses
incurred in the performance of their duties hereunder.
Section 8: Attendance.
Board Members shall make every effort to attend all Regular and Special Meetings of
the Board and/or committees. The City Council may replace any appointee of the
Board or request replacement of an appointee from other taxing jurisdictions for non-
attendance.
Article III: Officers
Section 1: Titles and Terms of Office.
The officers of the Zone shall consist of a Chairman, a Vice-Chairman, a Secretary and
such other officers as the Board of Directors may from time to time elect or appoint;
provided, however, that the City Council shall, on an annual basis, appoint the
Chairman in accordance with the Act. Terms of office for officers, other than the
Chairman, shall be one year.
All officers, other than the Chairman, shall be subject to removal from office, with or
without cause, at any time by a vote of a majority of the entire Board. A vacancy in the
office of any officer, other than the Chairman, shall be filled by a vote of a majority of
the Directors.
Page 4
Section 2: Powers and Duties of the Chairman.
The Chairman shall be the Chief Executive Officer of the Board of Directors, and
subject to the approval of the City Council, shall be in general charge of the properties
and affairs of the Zone and shall preside at all meetings of the Board of Directors.
Section 3: Powers and Duties of the Vice-Chairman.
The Vice-Chairman shall be a member of the Board of Directors, shall have such
powers and duties as may be assigned to him by the Board of Directors and shall
exercise those powers and duties. The Vice-Chairman shall also exercise the powers
of the Chairman during that officer's absence or inability to act. Any action taken by the
Vice-Chairman in the performance of the duties of the Chairman shall be conclusive
evidence of the absence or inability to act of the Chairman at the time that such action
was taken.
Section 4: Powers and Duties of the Secretary.
The Secretary shall keep the minutes of all meetings of the Board in books provided for
the purpose, shall have charge of such books, records, documents and instruments as
the Board may direct, all of which shall at all reasonable time be open to inspection,
and shall in general perform all duties incident to the office of the Secretary subject to
the control of the City Council and the Board.
Section 5: Staff.
Additional staff functions for the Board shall be performed by the City Manager and city
staff as designated by the City Manager.
Article IV: Provisions Regarding Bylaws
Section 1: Effective Date.
These Bylaws shall become effective upon adoption by the Board and approval by the
City Council.
Section 2: Amendments to the Bylaws.
These Bylaws may be amended by majority vote of the Board of Directors, and by a
resolution approved by a majority vote of the City Council.
Section 3: Interpretation of the Bylaws.
These Bylaws and all the terms and provisions hereof shall be liberally construed to the
purposes set forth herein. If any word, phrase., clause, sentence, paragraph, section,
or other part of these Bylaws, or the application thereof to any person or circumstance,
Page 5
shall ever be held invalid or unconstitutional by any court of competent jurisdiction, the
remainder of these Bylaws and the application of such word, phrase, clause, sentence,
paragraph, section or other part of these Bylaws to any other person or circumstance
shall not be affected thereby.
Article V: General Provisions
Section 1: Notice of Waiver of Notice.
Whenever any notice whatsoever required to be given under the provision of these
Bylaws, said notice shall be deemed to be sufficient if given by depositing the same in a
post office box in a sealed postpaid wrapper addressed to the person entitled hereto at
their post office address, as it appears on the books of the Zone, and such notice shall
be deemed to have been given on the day of such mailing. Attendance of a Director at
a meeting shall constitute a waiver of notice for such meeting, except where a Director
attends a meeting for the express purposes of objecting to the transaction of any
business on the grounds that the meeting is not lawfully called or convened. A waiver
of notice in writing signed by the person or persons entitled to said notice, whether
before or after the time stated herein, shall be deemed equivalent to the giving of such
notice.
Section 2: Resignations.
Any director or officer may resign at any time. Such resignation shall be made in
writing and shall take effect at the time specified therein, or, if no time was specified, at
the time of its receipt by the City Council. The acceptance of a resignation shall not be
necessary to make it effective, unless expressly so provided in the resignation.
Section 3: Approval or Delegation of Power by the City Council.
To the extent that these Bylaws refer to any approval by the City, such approval of
delegation shall be evidenced by a certified copy of an ordinance, or resolution, duly
adopted by the City Council.
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PASSED AND APPROVED this 4th day of December, 2018.
_______________________________
TIRZ Board Chairman
PASSED AND APPROVED this _____ day of ____________________, 2019.
______________________________
Laura K. Hill, Mayor
ATTEST:
______________________________
City Secretary