§ 44-121 — Definitions

Sec. 44-121. - Definitions.

As used in this article, the following terms shall have the meanings ascribed in this section unless the context of their usage clearly indicates another meaning: Abatement means the full or partial exemption from ad valorem taxes of certain real and/or personal property in a reinvestment zone. Abatement recipient means the owner of real or tangible personal property located on the real property, the lessee of real or personal property, or both, as applicable, who receive an abatement pursuant to this article. Agreement means a contractual agreement authorized by the city council between an abatement recipient and the city for the purpose of a tax abatement. Base year value means the assessed value of eligible property on January 1 preceding the execution of the agreement plus the agreed upon value of eligible property improvements made after January 1, but before the execution of the agreement. Brownfield facility means real property or tangible personal property located on the real property used as an authorized facility as provided in sections 44-129 and 44-130 of this Code. Competitive siting means evidence that the applicant has studied competing locations for expansion, relocation, or new operations to evaluate operating cost differentials and incentives available, excluding, however, locations in taxing jurisdictions with which the city has an agreement not to compete for projects by offering financial incentives. Complete community means an area designated as such by the city or the mayor in order to focus civic, business, and philanthropic resources on community needs as identified by the residents and larger community, such as housing, parks and environmental, economic, health, educational, mobility and infrastructure, and other social services, projects, or programs. Contract employee means an individual who is not a permanent employee or an affiliate of the abatement recipient but who does work for the abatement recipient in the reinvestment zone on a contract basis, either on a full- or part-time basis. Conventional stormwater detention means stormwater detention that does not meet the applicable design criteria for a low impact development design approach described in chapter 9 of the design manual. Deferred maintenance means improvements necessary for continued operations that do not improve productivity or alter the process technology. Design manual has the meaning ascribed in section 42-1 of this Code. Deteriorated/demolished property means any real property located in a reinvestment zone designated pursuant to item (1), (2), or (3) of section 44-122(d) of this Code, and on which improvements subject to an order and any extensions granted by the department of neighborhoods were declared dangerous or were demolished not more than one year before the date that a complete application for tax abatement is filed, and pursuant to a permit for demolition issued by the city with which the owner complied, and on which the owner has filed with the city an application for a building permit to construct new improvements no later than one year after the date that a complete application for tax abatement was filed. Deteriorated/demolished property redevelopment means a residential facility with structures containing four or fewer dwelling units per structure constructed as part of a unified plan on contiguous property comprising at least one existing block. Director means the mayor, or the person designated by the mayor to administer these guidelines and criteria. Dwelling unit means a structure, or a portion of a structure, that has independent living facilities including provisions for non-transient sleeping, cooking and sanitation. Economic life means the number of years a property improvement is expected to be in service in a facility. Eligible jurisdiction means any county, municipality or college district that levies ad valorem taxes upon and provides services to property located within a proposed or existing reinvestment zone. Expansion means the addition of buildings, structures, fixed machinery or equipment for purposes of increasing production capacity. Facility means property improvements, completed or in the process of construction or expansion, that together comprise an integral whole. Full-time equivalent means a job that is equivalent to 1,750 hours of work annually performed in the reinvestment zone by one or more contract employees or part-time employees. Green stormwater infrastructure means infrastructure designed and constructed for stormwater management to minimize the downstream impacts of development while providing additional environmental, social, or ecosystem benefits or services, which may include mitigating risk of flooding, reducing heat island effect or other climate-related hazards, improving water quality, sequestering carbon, encouraging water conservation, restoring native ecosystems, creating economic growth, or addressing quality of life challenges. LEED means Leadership in Energy and Environmental Design, a green building rating system developed by the USGBC that provides a framework and standard for green building design, construction, operations, and performance. LEED certification means a Silver, Gold, or Platinum rating level certification obtained from USGBC. Manufacturing facility means buildings and structures, including fixed machinery and equipment, the primary purpose of which is or will be the manufacture of tangible goods or materials or the processing of such goods or materials by physical or chemical change. Mixed-use facility means a facility used or to be used for more than one of the types of facilities defined in this section. Modernization means the replacement and upgrading of existing facilities that increase the productive input or output, extend the economic life of a facility, update the technology or substantially lower the unit cost of the operation of a facility. Modernization may result from the construction, alteration or installation of buildings, structures or fixed machinery or equipment, but construction, alteration or installation for the purpose of reconditioning, refurbishing or repairing to meet local, state, or federal regulations shall not be considered modernization. New commercial facility means a new facility, other than a residential facility that consists of one structure containing four or fewer dwelling units, that is an authorized facility described in section 44-127(a) of this Code. New facility means improvements on property previously undeveloped that is placed into service by means other than or in conjunction with expansion or modernization. Order means an order issued by the city pursuant to article IX of chapter 10 of this Code requiring the improvements on property to be demolished. Other basic industry facility means buildings and structures, including fixed machinery and equipment not elsewhere described, that meet the economic development objectives of the general policy stated in section 44-120 of this Code. Owner means the person or entity responsible for paying property taxes on taxable real property or tangible personal property located on the real property or an interest therein including one or more leasehold interests. Part-time employee means an individual who works for, and is an employee of, the abatement recipient in the reinvestment zone, but is not a permanent employee. Permanent employee means an individual who is an employee of the abatement recipient or an affiliate of the abatement recipient, works a minimum of 35 hours in a seven-day period, and reports to work in the reinvestment zone, excluding any contract employee, seasonal employee or part-time employee. Qualifying census tract means any population census tract where (1) the poverty rate for such tract is at least 20 percent; or (2) the median family income for such tract does not exceed 80 percent of the metropolitan area median family income for the Houston-The Woodlands-Sugar Land Metropolitan Statistical Area as defined by the Office of Management and Budget in the Executive Office of the President of the United States. Regional distribution center facility means buildings and structures, including fixed machinery and equipment, used or to be used primarily to receive, store, service or distribute goods or materials owned by the facility operator, where a majority of the goods or services are distributed to points at least 100 miles from any part of Harris County, unless there is no facility in Harris County that receives, services or distributes such goods and services to businesses and residents of Harris County. Regional entertainment facility means buildings and structures, including fixed machinery and equipment, used or to be used to provide entertainment through the admission of the general public, where the majority of users reside at least 100 miles from any part of Harris County, unless there is no facility providing the same or similar entertainment in Harris County. Regional service facility means buildings and structures, including fixed machinery and equipment, used or to be used to service goods, where a majority of the goods being serviced originate at least 100 miles from any part of Harris County, unless there is no facility in Harris County where businesses and residents of the county can obtain such service. Research and development facility means buildings and structures, including machinery and equipment, used or to be used primarily for research or experimentation to improve or develop current technology, including but not limited to bio-medicine, electronics or pre-commercial emerging industries. Research facility means buildings and structures, including fixed machinery and equipment, used or to be used primarily for research or experimentation. Residential facility means one or more buildings and structures, including machinery and equipment, used or to be used primarily for living, sleeping, cooking and eating, that are intended to be used or occupied as dwelling places whether or not attached. Retail facility means buildings and structures, including machinery and equipment, used or to be used primarily for the sale or service of goods or foods to consumers. TCEQ means the Texas Commission on Environmental Quality or other agency of the state of Texas that administers the voluntary cleanup program authorized in Subchapter S, Chapter 361, Texas Health & Safety Code. Target area means an area that qualifies for Texas Enterprise Zone designation pursuant to the Texas Enterprise Zone Act. Texas Enterprise Zone Act means Chapter 2303 of the Texas Government Code, as amended from time to time. Total green stormwater infrastructure cost means, with respect to a facility that is eligible for a green stormwater infrastructure tax abatement, the total cost to the owner for the construction of green stormwater infrastructure, including soft costs such as planning and design costs and interest incurred in financing the construction of green stormwater infrastructure, and, for green stormwater infrastructure described in subsection (c)(ii) of section 44-132, five years of maintenance costs, but excluding the costs associated with construction of conventional stormwater detention. Total project cost means, with respect to a facility that is eligible for a LEED tax abatement or a green stormwater infrastructure tax abatement, the total cost of construction to the owner, including soft costs such as planning and design, but excluding the costs of the acquisition of land. USGBC means the U.S. Green Building Council.

(Ord. No. 2018-391, § 2(Exh. A), 5-16-2018; Ord. No. 2020-424, § 2(Exh. A), 5-13-2020; Ord. No. 2020-1091, § 2, 12-16-2020; Ord. No. 2022-344, § 4, 5-4-2022; Ord. No. 2024-624, §§ 3, 8-28-2024)