1. (a) Each application for designation of an enterprise zone, application to amend the boundaries of a designated enterprise zone, must be typed directly on the form provided by the department and must include all applicable attachments as specified in the application.

   1. (1) The participants. The application must provide information about the applicant governing body or bodies, their designated representative and their liaison to communicate and negotiate with the department, the administrative authority and its representative, if applicable, and the neighborhood enterprise association and its representative, if applicable.

   2. (2) The applicant. If a joint application is being submitted by a municipality and county, or a combination of municipalities and/or counties, the information must be provided for each entity. The application must contain the following information and documentation concerning the applicant:

      1. (A) a statement signed by the applicant certifying that the contents of the application are true and correct to the best information and belief of the applicant and that the applicant has read the Act and this chapter and is familiar with the provisions of the enterprise zone program;
      2. (B) a certified copy of the ordinance or order as appropriate of the governing body of the applicant nominating the area within its jurisdiction as an enterprise zone under the Act, containing the information set forth in the Act, §2303.104, and identifying by job title the liaison or liaisons and representative or representatives in accordance with paragraph (1) of this subsection. The ordinance or order must specify any incentives to be provided by the municipality or county to business enterprises in the zone, including the conditions and circumstances governing the sale of surplus public buildings or vacant public lands at less than fair market value and the public purpose that will be achieved by the sale. At least three incentives must be offered in the zone which are not offered elsewhere throughout the jurisdiction. At least one incentive must be financial in nature. The ordinance or order may nominate more than one zone, but separate applications must be submitted for each zone;
      3. (C) if a joint application, a description and certified copy of the agreements between joint applicants providing for the joint administration of the zone. An agreement must include a statement that each applicant is committing one of its three allowed enterprise zone designations to the joint application.

   3. (3) Zone Administration. The application must contain the following information and documentation concerning administration of the zone:

      1. (A) a brief description of how the zone will be managed, including the unit or department within the municipality or county responsible for oversight of zone activities and person or persons responsible for zone administration within the municipality or county;
      2. (B) the procedures for negotiating with residents, community groups, and other entities affected by the zone and qualified businesses within the zone;
      3. (C) a description of the administrative authority, if any, including a list of members with representation as set forth in the Act, §2303.202; and
      4. (D) a description of the functions and duties of the administrator or administrative authority, if any, including decision-making authority and the authority to negotiate with affected entities.

   4. (4) The neighborhood enterprise association, if any. The application must contain the following information and documentation concerning the neighborhood enterprise association, if any:

      1. (A) a description of the neighborhood enterprise association, including a list of officers, with the street address, mailing address, and telephone number of each;
      2. (B) a statement describing the functions, programs, and services to be performed by designating neighborhood associations in the zone at the time of application; and
      3. (C) a copy of the proposed agreement between the neighborhood enterprise association and the applicant to include, if applicable, a statement on the amount of dedicated revenue from a tax increment fund to pay the neighborhood enterprise association for providing services or carrying out authorized projects. The term of an agreement with a neighborhood enterprise association may not exceed 10 years.

   5. (5) The zone. The application must contain the following information and documentation concerning the proposed zone:

      1. (A) a map of the proposed enterprise zone location which clearly shows zone boundaries, including existing streets and highways, rail, air facilities, and industrial parks;
      2. (B) an official census map of the proposed enterprise zone area that clearly identifies and reflects the most recent census data areas within the proposed zone boundaries applicable to the eligibility criteria referenced in the application;
      3. (C) certification of the geographic makeup of the proposed zone including the total square miles in the proposed enterprise zone, the total square miles of each applicant's jurisdiction, and the percentage of the jurisdiction in the zone;
      4. (D) a summary, in tabular form, of the data qualifying the area for an enterprise zone and supporting data as required by the Act and this chapter;
      5. (E) a statement setting forth the economic objectives, the current business and labor conditions, and the marketing strategy for the zone;
      6. (F) an annualized seven-year estimate of the economic impact of the zone that reflects at least the number of jobs and capital investment expected as a result of the designation of the zone, considering all of the tax incentives, financial benefits, and programs contemplated, on the revenues of the municipality or county. The estimate must be provided in tabular form and must describe the basis and assumptions used.

   6. (6) The local business incentives.

      1. (A) The application must contain additional information about the incentives specified in the ordinance or order.
      2. (B) For the purposes of tax abatement under the Property Redevelopment and Tax Abatement Act (Tax Code, Chapter 312), an enterprise zone designated after August 28, 1989, is considered to be a reinvestment zone without further designation and effective September 1, 1995, the reinvestment zone is effective for the term of the enterprise zone. In accordance with Chapter 312.204 and 312.206 of the Tax Code, property tax abatement agreements between the governing body of each taxing unit and property owners in an enterprise zone, may, but are not required to, contain terms that are identical to those contained in the agreement with the municipality, county or both. The terms of the agreement that may vary are the portion of the property that is to be exempt from taxation under the agreement and the duration of the agreement.
      3. (C) Land sold at less than fair market value. A municipality or county may sell a surplus building or vacant land in the zone at less than fair market value if the governing body of the municipality by ordinance or the governing body of the county by order adopts criteria specifying the conditions and circumstances under which the sale may occur and the public purpose that will be achieved. The surplus building or vacant land may be sold to a buyer who is not the highest bidder if the criteria and public purpose specified in the ordinance or order are satisfied. A copy of the ordinance or order must be filed with the department not later than the day the sale occurs. Factors to be considered in evaluating the local effort on the part of public entity include provisions of publicly owned land for development purposes including residential, commercial or industrial development.
   7. (7) Public hearings. The application must contain a transcript or tape recording of all public hearings on the zone, including copies of the published notices and copies of the publisher's affidavits.
2. (b) An application nominating an area or portions of an area for enterprise zone designation that is approaching a designation expiration date or for which designation has previously expired must follow the application process required of a first-time application for designation and will further be required to meet filing requirements under §176.2(b)(1)(B) of this title (relating to Filing Requirements for Applications and Claims).
3. (c) The department may require additional information at any time for evaluation purposes.

Source Note:The provisions of this §176.4 adopted to be effective August 29, 2002, 27 TexReg 7788.