[00:00:01]
RECORDING SYSTEM.UM, SO AGAIN, IF YOU HAVE A QUESTION TO STOP AND, AND UH, WE WILL HAVE THAT DISCUSSION.
SO JUST, I'VE STARTED JUST INCLUDING THE MAP AT THE START EVERY TIME.
JUST TO REMIND EVERYONE, UM, OF THE TIF TWO BOUNDARIES, WHAT YOU SEE HERE IS, UM, THE ORIGINAL BOUNDARY IN RED.
AND THEN THIS PA IN 2025, WE, UH, PROPOSED AND APPROVED AN EXPANSION AND EXTENSION.
SO WHAT YOU SEE IN RED HAS BEEN EXTENDED ANOTHER 20 YEARS THROUGH 2045.
AND THEN WE'VE ADDED AND EXPANDED INTO THAT TIF TWO, A AREA SHOWN HERE IN BLUE.
SO NO CHANGES FROM THIS MAP SINCE LAST TIME YOU'VE ALL SEEN IT.
JUST WANNA KEEP BRINGING IT TO THE FOREFRONT 'CAUSE THAT'S WHERE, UH, THESE DOLLARS AND ANY PROPOSED EXPENDITURES WOULD, WOULD NEED TO BE EXPENDED.
SO TWO THREE, A STATUS UPDATE ON ACTION ITEMS FROM LAST MEETING.
OUR GIS MAP IS STILL IN DEVELOPMENT WITH OUR INFORMATION TECHNOLOGY DEPARTMENT, UM, WITH THOSE REQUESTED LAYERS.
UM, I HAVE LINKED AND I BELIEVE EVERYONE HAS ACCESS TO OUR TEAMS CHANNEL.
UM, IF YOU HAVE ANY ISSUES ACCESSING THAT, PLEASE REACH OUT TO ME OR OUR CITY SECRETARY JENNIFER.
UM, IN THERE WILL BE A PDF OF THIS PRESENTATION WITH A HYPERLINK.
THIS WILL TAKE YOU TO A MAP THAT SHOWS ALL THE TIF DISTRICTS AND THE ZONING OVERLAY.
AND THEN WE'RE WORKING WITH THEM TO GET THOSE ADDITIONAL ITEMS WE HAVE IDENTIFIED UP ABOVE INTO A MAP FOR US.
SO THEY ALL EXIST IN VARIOUS OTHER MAPS.
IT'S JUST GETTING THE RIGHT GIS INDIVIDUAL TO LAYER THEM, WHICH IS BEYOND MY EXPERTISE.
AND THEN MR. CHAIR, IF YOU'RE OKAY WITH US MOVING? YES, LET'S MOVE ON.
UH, ITEM THREE B IS FISCAL YEAR 2026.
TIFF NUMBER FOR, UH, TIFF NUMBER TWO.
SO DUE TO THE UNIQUE TIMING OF OUR BUDGET PROCESS THIS YEAR, THOSE OF YOU MAY, THAT MAY NOT BE AWARE.
UM, THE CITY IS, UH, PURSUING GOING TO THE VOTERS THIS NOVEMBER, UM, FOR A TAX RATE ELECTION.
THIS IS REQUIRED, UM, BY STATE LAW IF THE CITY WISHES TO CHANGE THE O AND M PORTION OF THE TAX RATE, WHICH IS WHAT FUNDS OUR GENERAL FUND, UM, MORE THAN WHAT IS CAPPED BY WHAT WAS SENATE BILL TWO OR THREE AND A HALF PERCENT.
UM, THERE WILL BE A LOT OF DISCUSSION ABOUT THIS KIND OF ON THE CITYWIDE LEVEL, UM, OVER THE NEXT MONTH TO MONTH AND A HALF AS WELL.
AND THEN OF COURSE, AS WE APPROACH NOVEMBER, UM, IT'S SIMILAR IN KIND OF THE TYPE OF PROPOSITION WE HAVE TO TAKE AS THE ISD, BUT IT'S DIFFERENT IN THAT THE ISD WAS ASKING FOR A TAX RATE INCREASE.
UM, THE CITY IS PROPOSING, UM, AND WE'LL KNOW IN ABOUT A WEEK FOR SURE, FOR CERTAIN, UM, A TAX RATE NEUTRAL OR A TAX ACTUAL TAX DECREASE BECAUSE WE ARE ABLE TO PAY OFF SOME LONG-TERM DEBT OBLIGATIONS, UM, AND HAVE OPPORTUNITIES THERE TO ADJUST THE OTHER PORTION OF THE RATE, THE DEBT SERVICE, THE INS PORTION OF OUR RATE DOWN TO HOPEFULLY OFFSET AND HOPEFULLY PROVIDE TAX RELIEF WHILE ALSO SHORING UP FUNDS FOR OUR GENERAL FUND.
SO THERE WILL BE A LOT MORE INFORMATION FROM A CITYWIDE PERSPECTIVE, UM, THAT DOESN'T NECESSARILY DIRECTLY IMPACT THIS TIFF.
UM, BUT IT IS IMPACTING THE TIMING OF OUR BUDGET PROCESS AND WHEN OUR BUDGET WILL BE CONSIDERED BECAUSE THE PROCESS TO GO TO THE VOTERS IN NOVEMBERS HAS A VERY SPECIFIC TIMELINE OUTLINED IN THE TAX CODE.
AND THAT NECESSITATES THE WHOLE PROCESS STARTING IN JULY.
WHEREAS IN A TYPICAL YEAR, OUR OPERATING BUDGET PROCESS WOULD START IN AUGUST.
UM, SO WHAT I HAVE BEFORE YOU IN TERMS OF THE PROPOSED BUDGET IS BASED ON INITIAL ESTIMATES BECAUSE WHILE WE PRESENTED THE PROPOSED BUDGET TO CITY COUNCIL ON JULY 6TH, WE DO NOT RECEIVE CERTIFIED VALUES FROM THE APPRAISAL DISTRICTS UNTIL JULY 24TH.
AND SO WHAT YOU SEE HERE BEFORE YOU IS ESTIMATES, UM, BASED ON OUR ESTIMATED VALUE REPORTS WE'VE RECEIVED OVER THE COURSE OF THE SUMMER, UM, AND BASED OF, UH, THE TOTAL TAXABLE VALUE IN THE TIF AND THEN OF COURSE WHAT THAT REVENUE, WHAT THAT WOULD GENERATE IN REVENUE FOR THE UPCOMING YEAR.
UM, ONCE WE HAVE CERTIFIED VALUES, WE WILL PRESENT ANY CHANGES AS A RESULT OF THOSE BACK TO CITY COUNCIL AND THEN OF COURSE COULD, YOU KNOW, PROVIDE THAT INFORMATION ONTO THE BOARD AS WELL.
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TO EXPLAIN THE CONTEXT OF WHY THE NUMBER YOU SEE HERE, THIS 2.7 MILLION IN PROPOSED REVENUE, THAT NUMBER WILL CHANGE SOME AMOUNT WITH THE CERTIFIED VALUES.UM, SINCE THIS IS BASED ON ESTIMATES, BUT WE BELIEVE THIS IS, UH, A FAIRLY CONSERVATIVE ESTIMATE TO BRING BEFORE YOU AND THAT'S WHY IT WAS INCLUDED IN THE PROPOSED BUDGET.
UH, MY RECOLLECTION IS THESE, UH, BUDGET PROCESS, ARE THERE ARE PUBLIC HEARINGS RELATED TO THAT? IS THAT CORRECT? THAT IS CORRECT.
WOULD IT BE THE PLEASURE OF THIS GROUP TO BE NOTIFIED, UH, UH, IN SOME WAY SO THAT WE COULD ATTEND THOSE MM-HMM
OR WATCH 'EM ON, ON TV OR SOMETHING SO WE COULD STAY ABREAST OF WHAT THOSE ARE? DO YOU THINK THAT'D BE A GOOD IDEA? I THINK THAT'D BE AWESOME.
I'M HAPPY TO SHARE THE FULL CALENDAR OF EVENTS FOR THE BUDGET PROCESS WITH THE BOARD.
AND I'LL ALSO SEND YOU, WE HAVE A, A PAGE ON THE CITY'S WEBSITE, UM, DEDICATED TO THE PROPOSED BUDGET PROCESS WHERE WE'RE POST NOT ONLY THE CALENDAR, BUT UM, ANY PRESENTATIONS THAT ARE GIVEN.
I JUST, UH, I WAS LOOKING AT THE PROPOSED REVENUE.
I KNOW AGAIN, IT'S PROPOSED, NOT FINALIZED YET, BUT I WAS JUST CURIOUS AS TO HOW THE INTEREST INCOME IS ONLY A HUNDRED DOLLARS.
I'M NOT SURE HOW AND THE PROPOSED REVENUE, HOW THAT JUST A HUNDRED DOLLARS JUST KIND OF STICKS OUT AS SUCH A SMALL AMOUNT
UM, THAT IS THE ESTIMATE, UM, ON JUST, WELL, WHAT, HOW MUCH INTEREST EARNINGS WE WOULD GET RELATED TO THIS FUND BASED ON OKAY.
OR ESTIMATE OF INTEREST RATES.
THAT'S A PRETTY LOW AMOUNT FOR $2 MILLION.
THAT'S, THAT'S, THAT'S INTEREST.
I WAS JUST GIVE COSTS MORE THAN THAT, YOU KNOW, JUST SO WE ARE NOT ING THIS, MATT, WE NEED TO WORK ON THAT
IT'S IN THE CITY POOLS AND, YEAH.
WE'LL, LET ME TAKE A LOOK AT THAT.
WE WILL BLOW THAT OUT OF THE WATER.
LAST YEAR WE
UH, THIS IS, WE USUALLY STAY CONSERVATIVE.
WE STAY EXTREMELY CONSERVATIVE, ESPECIALLY ON THE TIFFS JUST TO ENSURE.
'CAUSE WE DON'T KNOW IF WE'RE GONNA SPEND THE MONEY OR NOT.
'CAUSE UH, IN THE NATURE OF A TIFF, AS PROJECTS COME UP, AS Y'ALL KNOW, IT'S PRETTY RAMPANT, RIGHT? THAT YOU JUST HAVE TO JUMP AHEAD OF IT.
SO WE TYPICALLY CON ARE REALLY CONSERVATIVE WITH OUR INTEREST EARNINGS, BUT, UH, IF THAT HELPS, LAST YEAR WE MADE $20,000 IN INTEREST.
THANK YOU FOR HAVING THAT NUMBER ON HAND.
ARE WE GONNA DO ANY PROJECTS WITH THAT BALANCE IN THIS PROPOSED BUDGET? THE ONLY EXPENDITURES ARE THAT 1.5, UM, WHICH IS GENERAL ADMINISTRATIVE.
THIS IS A REALLY A REQUIREMENT OF TS TO TRANSFER FUNDS TO SUPPORT THE GENERAL ADMINISTRATIVE STAFF THAT SUPPORT THE TIF ARE TRANSFER TO THE GENERAL FUND, WHICH IS 50% OF THE TIF REVENUE AS ADOPTED IN THE PROJECT PLAN LAST YEAR, UM, TO SUPPORT PUBLIC SAFETY ACTIVITIES WITHIN THE TIF.
AND THEN THIS IS THE FINAL YEAR OF THE BASS PRO INCENTIVE, WHICH IS THAT 67,000.
UM, SO AT, AT THE BOTTOM LINE, OUR PROPOSED ENDING FUND BALANCE OF THAT 2.37 IS DOES NOT HAVE A PLANNED EXPENDITURE PLAN RIGHT AT THIS TIME.
SO, SO IT IS JUST GOING TO BE, AND WE AT THIS TIME, WE ANTICIPATE SITTING IN FUND BALANCE FOR A FUTURE USE.
UM, AND WE'LL COME, UH, IN OUR NEXT THREE C WE'LL, WE'LL TALK ABOUT THE LONG-TERM LOOK OF, UH, CONSERVATIVE ESTIMATES ON, UH, TAX VALUE REVENUES, AS WELL AS THE PROPOSED EXPENDITURES WE KNOW ABOUT TODAY.
UM, THERE WILL BE OPPORTUNITIES IN THE FUTURE FOR THIS TIF TO DO PROJECTS OR SUPPORT PROJECTS OR SUPPORT REDEVELOPMENT OR DEVELOPMENT INITIATIVES.
UM, NOTHING AT, AT THIS TIME HAS COME TO FRUITION.
SO MY, AT LEAST MY RECOMMENDATION WOULD BE TO HOLD THAT IN OUR FUND BALANCE IN OUR RESERVES SO THAT WHEN THAT OPPORTUNITY COMES, WE CAN ACT.
THIS IS ONE OF THOSE THAT'S NOT A SPRINT.
THIS IS GONNA BE A, IT'S A JOURNEY.
THIS TIFF HAS DEFINITELY BEEN A MARATHON AND WE, WE'VE HAD A LOT OF, UM, THAT BRINGS ME TO OUR NEXT SLIDE JUST IN TERMS OF OUR RECENT TAX-BASED GROWTH AND THE, AND THE GROWTH THAT THIS
[00:10:01]
REV THAT PRELIMINARY REVENUE ESTIMATE'S BASED ON.UM, THIS JUST GIVES YOU THE CONTEXT OF OUR OVERALL TAXABLE VALUE.
SO UP UNTIL 20, UP THROUGH 2025, THIS WAS ONLY THE, INCLUDING THE ORIGINAL ZONE.
YOUR 2026 PRELIMINARY ESTIMATE INCLUDES THAT EXPANSION ZONE AS WELL.
UM, AND ANY GROW INCREMENTAL GROWTH ASSOCIATED IN THAT AREA.
BUT YOU CAN SEE THAT REALLY SINCE 2022 IS WHEN THIS TIFF STARTED TO REALLY TAKE OFF IN TERMS OF DEVELOPMENT OPPORTUNITIES IN THE TIFF ZONE THAT, YOU KNOW, CAME ABOUT NATURALLY THE CITY WAS NOT INVOLVED IN FROM AN INCENTIVE PERSPECTIVE THROUGH THE TIFF.
SO THAT HAS BEEN A CATALYST FOR WHAT WAS THE, THE ORIGINAL END OF THE T TERM AND WAS WHAT SPARKED THE CONVERSATION TO EXTEND AND EXPAND THIS TIFF BECAUSE THEY'RE STARTING TO GET SOME SYNERGY OF REDEVELOPMENT AND DEVELOPMENT IN THAT AREA.
UM, WE TALKED ABOUT IT OUR LAST MEETING AND, UH, MR. SMITH WILL MAKE SURE YOU CAN FIND THAT IN THE TEAMS CHANNEL, OUR PRESENTATION FROM LAST TIME THAT GOES OVER SOME CAPITAL PROJECTS IN THAT AREA AS WELL AS THE HARBOR POINT PLAN.
AND IF YOU HAVE ANY QUESTIONS ABOUT THOSE, YOU CAN SHOOT ME AN EMAIL.
UM, BUT THERE'S AN OPPORTUNITY I THINK IN THE NEXT 20 YEAR TERM FOR THIS TIF TO REALLY PARTICIPATE AND, AND LEVERAGE THOSE DOLLARS TOWARDS REDEVELOPING THAT AREA.
THERE'S 412 MILLION, THAT'S JUST IN THE TIF TWO, CORRECT? TAXABLE VALUE, CORRECT.
THE TIF TWO, THE TIF TWO ZONE, TIF TWO ZONE.
THAT IS ALL I HAD IN TERMS OF THE PROPOSED BUDGET FOR TIF TWO.
ANY FURTHER QUESTIONS BEFORE WE MOVE INTO THE LONGER TERM FINANCIAL OUTLOOK? OKAY.
UPDATED TIFF NUMBER TWO FINANCIAL MODEL.
SO JUST TO TALK ABOUT OUR FINANCIAL MODEL AND AS MATT TALKED ABOUT UPFRONT IN TERMS OF JUST OUR PHILOSOPHY, UM, WE'RE VERY CONSERVATIVE IN OUR FINANCIAL MODELS.
WE DO NOT WANT TO PUT THE CITY OR THE TIFF BOARD OR A CITY COUNCIL IN A POSITION OF MAKING DECISIONS, UM, FOR FUNDING PROJECTS OR FUNDING AN INCENTIVE OR REDEVELOPMENT ACTIVITIES THROUGH THE TIFF.
UM, WITHOUT, YOU KNOW, HAVING A SECURE REVENUE SOURCE OR GUAR, YOU KNOW, WHAT WE FEEL IS CONSERVATIVE REVENUE ESTIMATES THAT COULD SUPPORT IT.
SO WITHIN THAT MODEL, WE'RE VERY CONSERVATIVE REVENUE GROWTH OR TAXABLE VALUE GROWTH OF 1.5%.
UM, THE BASE MODEL DOES NOT ANTICIPATE ANY POTENTIAL REDEVELOPMENT OR, AND OR NEW CONSTRUCTION TAX GROWTH, ALTHOUGH THERE ARE SOME OPPORTUNITIES WE HOPE ON THE HORIZON.
UM, AND SO IT'S JUST BASELINE BASED ON THE EXISTING TAXABLE VALUE AT THAT 1.5% IS THE GROWTH.
AND THEN AT THIS POINT, WE'RE NOT ANTICIPATING ANY ADDITIONAL EXPENDITURE COMMITMENTS IN OUR MODEL BASED ON WHAT'S BEEN DISCUSSED TO DATE.
HOWEVER, THERE MAY BE INCENTIVE OR PARTICIPATION OPPORTUNITIES THAT ARISE WITH DEVELOPMENT OR REDEVELOPMENT PROJECTS WITHIN THE ZONE.
ALLISON, JUST FOR CURIOSITY MM-HMM
UH, WHAT HAS BEEN THE CONSERVATIVE GROWTH RATE USED FOR THE OTHER TIF DISTRICTS? WE USE THE SAME 1.5% WITHIN THAT.
AND WE ON AN ANNUAL BASIS EXCEED OUR, YOU KNOW, MODELED PROJECTIONS IN TERMS OF REAL GROWTH VALUE.
UM, YOU KNOW, THE PAST COUPLE YEARS WE'VE, LAST YEAR WE HAD A 5.6% GROWTH.
I THINK THE TIFF ITSELF, UM, I'M GONNA PULL UP MY CHEAT SHEET, HAD A, ABOUT A 20% GROWTH.
IT'S JUST WITHIN THE TIFF ITSELF.
UM, PRIOR TO THAT IN THE POST PANDEMIC BOOM, I MEAN CITYWIDE, WE WERE SEEING 10, 15, 20% IN TERMS OF OVERALL VALUE GROWTH AS YOU SAW ACROSS THE METROPLEX.
UM, SO WE ANTICIPATE WE WILL HOPEFULLY BLOW THIS ESTIMATE OUTTA THE WATER.
UM, ESPECIALLY IF WE GET, UH, A PROJECT ON THE HORIZON, UM, THAT BRINGS IN SOME NEW CONSTRUCTION, NEW DEVELOPMENT THAT WILL RAISE OUR VALUES AND, AND BRING US THAT MUCH MORE REVENUE AND HOPEFULLY, YOU KNOW, PROVIDE US ADDITIONAL SEED FUNDING TO PARTICIPATE EITHER IN THAT PROJECT OR FUTURE PROJECTS.
AND SO, IF I CAN, I MIGHT ASK OUR ASSISTANT CITY MANAGER, MATT WATSON, JUST TO COME UP AND JUST KIND OF GIVE YOU A HIGH LEVEL OF SOME
[00:15:01]
REDEVELOPMENT PROJECTS THAT ARE BEING DISCUSSED AT THIS TIME.WE CAN'T GIVE YOU SPECIFICS, UM, 'CAUSE WE'RE, THEY'RE STILL IN NEGOTIATIONS, BUT JUST WANTED TO GIVE THE TIFF BOARD KIND OF AN IDEA OF SOME, UH, PROJECTS THAT MAY BE, YOU KNOW, ON THE HORIZON OR POTENTIALS OR ITEMS THAT WE WOULD BE LOOKING AT THAT COULD ONE, PROVIDE TAX GROWTH TO THIS AREA, BUT ALSO MAYBE AN OPPORTUNITY FOR US TO PARTICIPATE IN GETTING SOME DEVELOPMENT OR REDEVELOPMENT.
I WAS GONNA JUST ADD A FEW, UH, CONTEXT ON THE CONSERVATIVE ESTIMATES THAT WE USE AND, AND THIS TIFF IS ACTUALLY A REASON WHY WE ARE CONSERVATIVE.
UM, 20 YEARS AGO WHEN THIS TIFF WAS STARTED, IT WAS PRIMARILY STARTED TO FUND THE, UH, INFRASTRUCTURE ASSOCIATED WITH BASS PRO.
AND, UH, THE, THE LEADERSHIP AT THE TIME, UH, U UTILIZED A BALLOON PAYMENT TYPE STRUCTURE, WHICH WAS POPULAR BACK THEN IN TIFF'S.
AND WHY YOU WOULD DO THAT IS BECAUSE TIFF, THE INCREMENTAL REVENUE BUILDS, BUILDS, BUILDS.
AND SO YOU HAVE MORE REVENUE AS, AS THE YEARS GO BY.
SO THEY BACK BACKLOADED THE DEBT WITH ASSUMPTIONS THAT YOU'RE GOING TO HAVE THIS MASSIVE PRO UH, GROWTH BECAUSE OF BASS PRO, IT NEVER MATERIALIZED.
SO OUR APPROACH, UH, ALLISON AND I HAVE ALWAYS BEEN WITH TIFFS IS TO JUST BE KIND OF BASELINE ONLY, ONLY PROMISE WHAT'S ON THE GROUND RIGHT NOW.
SO THAT'S KINDA WHY WE'RE USING SUCH A CONSERVATIVE MODEL.
WE BLOW IT OUT OF THE, I MEAN, YOU SAW THE ESTIMATES IT'S 20, 30%.
WE ADD THOSE IN ONCE THEY'RE CERTIFIED AND WE KNOW IT'S ON THE GROUND, BUT WE, WE JUST DON'T WANT TO GET OURSELVES IN A SITUATION LIKE WE WERE 20 YEARS AGO WHERE WE'RE ESTIMATING SOMETHING AND ESTIMATES ARE ALWAYS WRONG AND THEN A RECESSION HAPPENS, THERE'S CHANGE IN LEGISLATION, AND NOW ALL THAT DEBT YOU'VE INVESTORS ARE WANTING THEIR MONEY, YOU GOTTA PAY THAT BACK.
SO THAT'S WHY WE USE SUCH CONSERVATIVE ESTIMATES ON OUR REVENUES.
UM, HOPEFULLY, HOPEFULLY THAT HELPS.
UH, BUT THAT'S WHY WE DO THAT.
IT'S NOT THAT WE'RE BAD AT ESTIMATING.
WE CAN ESTIMATE A POTENTIAL GROWTH, BUT WE JUST DON'T DO IT BECAUSE THINGS CAN HAPPEN.
WE'RE JUST TRYING TO STAY CONSERVATIVE AND PROTECT THE CITY AS FAR.
CAN YOU GO BACK TO THE MAP AND I'LL JUST KIND OF TALK THROUGH SOME OF THE THINGS WE'RE, SO RIGHT NOW, YOU KNOW, UH, HAD A QUESTION BEFORE THIS, YOU KNOW, WE HAD THE HARBOR POINT MASTER PLAN AND, AND, AND I LIKE WHAT JASON COARD SAID, THAT, THAT THIS IS MORE OF A MARATHON THAN A SPRINT, ESPECIALLY UP THERE AT THE HARBOR POINT AREA, WHICH IS THE AREA SURROUNDED BY THE LAKE.
UH, ONE THING WE DO HAVE GOING ON, WHICH I, WE TALKED ABOUT LAST TIME, IS THAT WE ARE IN THE DESIGN PHASE OF A BOARDWALK AROUND THAT, THAT, UH, THE CITY, THAT CITY IS CONSTRUCTION THEM THROUGH THE BOND PROGRAM IN 2025.
THAT AREA'S GOT A LOT OF LAND, UH, FACILITY ISSUES ASSOCIATED WITH IT.
SO THIS'S GOING TO BE A LONG TERM PROJECT THAT'S GONNA REQUIRE THE RIGHT DEVELOPER FOR, FOR BIG INVESTMENT.
BUT WHERE WE HAVE SOME POTENTIAL IS THIS AREA AND THEN ALSO THE ROSE, ROSE HILL AREA.
SO WHAT THAT LITTLE BLUE PIECE IS IS THAT'S THE DART TRANSIT CENTER AND IT'S, UH, THE LAKE RAY HUBBARD TRANSIT CENTER.
WE ARE CURRENTLY IN THE, THE, UH, TALKS WITH DART FOR THEM TO START HELPING PARTICIPATING TIFFS.
NOW THEY DON'T HAVE PROPERTY TAX, BUT THEY HAVE SALES TAX.
SO WE'RE CURRENTLY WORKING THROUGH AND NEGOTIATING WITH ALSO THE OTHER CITIES, UH, THAT ARE MEMBERS OF DART.
SO IRVING, PLANO, DALLAS, THOSE TYPES OF CITIES OF THEM STARTING TO PARTICIPATE IN TESTS WITH THEIR SALES TAX, WHICH IS A KIND OF A DIFFERENT CONCEPT, WHICH IS, BUT WAS WILL BE VERY HELPFUL FOR US.
AND HOW RIGHT NOW HOW THAT WOULD LOOK IS THEY'RE, THEY'RE, THEY'RE LOOKING TO OFFER UP TO 50% OF THE INCREMENTAL SALES TAX GROWTH THAT OCCURS WITHIN THE, THE TIFF DISTRICT AND PRO UH, PROVIDING THAT TOWARDS SPECIFIC PROJECTS.
THOSE SPECIFIC PROJECTS CAN INCLUDE TRANSIT ORIENTED THINGS.
'CAUSE OBVIOUSLY THEY WANT TO, TO HAVE IT SUPPORT THEMSELVES, BUT THERE'S ALSO HOTELS.
THERE'S ALSO MIXED, UH, MIXED USE DEVELOPMENTS THAT CAN BE USED TOWARDS IT.
SO AS WE CONTINUE TO NEGOTIATE WITH THEM, WHICH NEGOTIATIONS ARE PRETTY FAR ALONG, UH, WE WILL DEFINITELY UPDATE THE BOARD ON, UH, ONE THAT WE'RE PROBABLY WILL LOOK IF, IF THE BOARD AGREES WHEN WE BRING IT TO HAVE THE, THE DART BOARD ALSO PARTICIPATE IN THE TIF, WHICH WILL GIVE US ADDITIONAL REVENUE TO HELP SUPPORT SOME OF THE PROJECTS WE'RE TALKING ABOUT.
ON TOP OF THAT, WE'RE WHAT IS DART'S INCENTIVE OTHER THAN POSSIBLE TRANSPORTATION PROJECTS? IS THAT THEIR, THAT'S WHAT IT IS.
SO AS, AS YOU PROBABLY KNOW, UH, DART AND ITS MEMBER CITIES HAVE BEEN IN, IN QUITE A LITTLE BATTLE OVER THE LAST COUPLE OF YEARS.
AND, UH, THE, THE CONCEPT FIRST CAME UP AS A NEGOTIATION TOOL
[00:20:01]
BECAUSE TO GIVE BACK SOME OF OUR SALES TAX 'CAUSE WE'RE MANY OF THE CITIES ARE CONTRIBUTING, UH, WHAT THEY BELIEVE IS MORE SALES TAX THAN WHAT THEY'RE GETTING IN RETURN.ALSO, PREVIOUSLY DART HAS BEEN VERY RIGID IN ENTERING INTO ECONOMIC DEVELOPMENT TYPE PROJECTS WITH CITIES WITH UH, UH, REALLY USING LIKE THINGS LIKE MOCKINGBIRD STATION, WHICH DON'T WORK EVERYWHERE AS AS THE BASELINE FOR WHAT THEY'RE WANTING OUT OF EVERYONE, WHICH YOU CAN'T REPRODUCE A MOCKINGBIRD STATION, THE HEART OF DALLAS IN ANY OF THE SUBURBAN CITIES.
SO THEY'RE LOOKING TO JUST TRY TO ONE, SHOW THAT THEY SUPPORT CITIES, BUT ALSO THEY KNOW THAT ECONOMIC DEVELOPMENT BRINGS THEM MORE MONEY.
THE MORE ECONOMIC DEVELOPMENT THAT OCCURS, THE MORE SALES TAX THAT OCCURS, THE MORE THEY GET.
'CAUSE AGAIN, UH, THE, THE STATE TAKES 6.25 SALES TAX AND THE CITY CAN TAKE 2%.
OUR ONE, WE'VE GIVEN 1% OF THAT TO DART.
SO IF WE ARE GROWING ECONOMIC DEVELOPMENT, THEY ARE ALSO GROWING ON OUR BEHALF.
SO THAT'S WHY THEY'RE LOOKING TO DO THAT.
SO ON THE SAME THING IN THAT, IN THAT AREA WE DO HAVE AN WHAT'S CALLED AN INTERLOCAL AGREEMENT ON A, ON A A POTENTIAL PROJECT.
WE ARE TALKING THROUGH SOME WITH SOME DEVELOPERS ON POSSIBLY PARTNERING WITH DART TO HAVE A, UH, EITHER MIXED USE OR, UM, SOME LIKE TOWN HOME CONCEPTS ALSO PUT ON THEIR PARKING LOT.
'CAUSE IF YOU'VE EVER BEEN THROUGH THERE, THEIR PARKING LOT'S PRETTY MUCH EMPTY.
SO THEY'RE ALSO LOOKING INTO, YOU KNOW, GOING INTO GROUND LEASE DEALS WHERE A DEVELOPER CAN COME ON.
SO THAT'S SOMETHING THAT MAY SHOW UP IN THE NEXT YEAR IN FRONT OF THIS BOARD AS A POTENTIAL PROJECT, BUT WE'RE STILL WORK NEGOTIATING WORKING THROUGH THAT.
SO THAT WOULD BE PRIMARILY RESIDENTIAL OR, OR RETAIL OR BOTH? IT COULD BE EITHER OR OF THAT.
WE'RE, WE'RE STILL WORKING ON GETTING THE RIGHT PARTNER ON THAT, BUT WE DO HAVE IN OUR LOCAL AGREEMENT WITH DART AND THEN WE JUST GOT IT MAKES IT COMPLICATED IS NOW WE GOTTA NEGOTIATE WITH DART ALSO WITH THE DEVELOPER AND EVERYONE AGREE ON THIS.
UH, WE ALSO HAVE A, UH, SEVERAL DEVELOPERS INTERESTED.
WE OWN SOME PROPERTY OFF ROSE HILL, UM, ROSE HILL AND I 30.
AND SO WE'VE GOT SOME POTENTIAL THERE FOR A MIXED USE TYPE, UH, DEVELOPMENT TO COME IN IN THAT AREA.
SO THAT'S SOMETHING ELSE THAT Y'ALL MIGHT SEE OVER THE NEXT YEAR AND HENCE WHY WE'RE LEAVING THAT MONEY IN FUND BALANCE WE HAVE.
SO JUST BETWEEN THOSE TWO PROJECTS ARE GONNA BE POTENTIAL TO BE FAIRLY BIG, REALLY GOOD FOR THE TIFF, BUT WE NEED TO STILL WORK THROUGH THE NEGOTIATIONS WITH THEM ON WHAT EXACTLY THEY'RE LOOKING NORTH SIDE OF I YOU CORRECT.
IT'S ACTUALLY, IT MIGHT BE BOTH, BUT IT, THE NORTH SIDE IS THE PROPERTY WE OWN.
CAN YOU POINT ON THE MAP WHERE APPROXIMATELY ROSE HILL, IS THIS A WHERE IT, THERE'S IT'S WHERE THE HORSESHOE BAND IS ON ROAD HILL WE OWN, YEAH, IT'S RESIDENTIAL BEHIND IT IN THE CITY.
A RESIDENTIAL DEVELOPER DEVELOPED BEHIND IT AND WE DID A LAND SWAP.
'CAUSE WE GET, WE USED TO OWN THAT WE DID A LAND SWAP TO GET THE FRONTAGE PROPERTY, WHICH WOULD BE MORE, MORE THAN LIKELY COMMERCIAL BECAUSE IT'S FRONTAGE ROAD PROPERTY.
SO THOSE ARE KIND OF THE TWO, UH, BIG PROMISING THINGS IN ON, ON THE HORIZON.
JUST WANTED TO MAKE SURE IF Y'ALL KNEW THAT THERE ARE SOME THINGS ON THE HORIZON.
THE HARBOR POINT'S PROBABLY GONNA BE A LONG PROCESS TO GET SOMEBODY TO COME IN THERE, BUT WE DO HAVE SOME PRETTY PROMISING THINGS COMING IN IN THOSE TWO AREAS, POTENTIALLY.
OH, ONE THING BEFORE WE LEAVE THE MAP.
I KNOW THERE'S, UM, MORE COMPLETE TALKS ABOUT THE EXTENSION OF, UH, GEORGE BUSH FURTHER SOUTH AND THAT'S GONNA COME RIGHT THROUGH THE DISTRICT.
IS THAT GONNA BE A POSITIVE OR A NEGATIVE? UH, FOR THE TIFF DISTRICT? UH, IF YOU RECALL THIS LITTLE NUGGET, THIS IS ACTUALLY A HOLE IN OUR TIFF MM-HMM
WE, WE INTENTIONALLY LEFT THAT OUT 'CAUSE THAT IS WHERE IT'S GOING THROUGH.
SO WE DIDN'T WANT IT TO IMPACT THE INCREMENTAL GROWTH GOT IT.
I MEAN, IF WE INCLUDED IT, THERE'S ROUGHLY $60 MILLION OF VALUE IN THAT LITTLE NUGGET RIGHT NOW.
BUT UNFORTUNATELY, UM, WITH THROUGH IMMINENT DOMAIN, THERE'S GONNA BE A HUGE ROADWAY GOING THROUGH THERE.
SO THAT'S, SO, SO THAT'S THE DONUT HOLE.
IT'S KIND OF STRANGE ON THE MAP 'CAUSE IT LOOKS LIKE IT'S JUST PART OF IT.
I MEAN, PART OF IT, BUT IT'S A DONUT HOLE.
WHERE DID THE GEORGE BUSH CONTINUE AFTER THAT? I MEAN, DOES IT GO OUT INTO THE LAKE OR DOES IT STAY ON LAND? IT STAYS ON LAND, BUT THERE'S NOT ANY, WE LEFT, WE, WE JUST LEFT THAT DONUT HOLE BECAUSE THAT'S WHERE THE PRO OUR PROPERTY VALUES
[00:25:01]
WERE.THEY, THEY, THEY WILL TAKE, THEY HAVE A PATH FOR THE REST OF IT WITHOUT ANY NEED TO, UH, DEMOLISH ANY PROPERTY.
IS THAT GONNA BE ELEVATED? I ASSUME THEY'RE NOT BURYING IT.
UM, DUNNO, I KNOW IT'S ELEVATED OVER WHERE THAT DONUT HOLE IS, AT LEAST IN THEIR CURRENT PLANS.
I DON'T THINK IT'S GOING, THERE IS GOING TO BE A SWITCH AT, UM, BASS PRO AND I 30 WHERE THEY'LL SWITCH IT OVER.
SO RIGHT NOW I BELIEVE BASS PRO GOES OVER, IT'S GONNA GO UNDER, BUT THERE'LL BE SOME HOMES THAT'LL NEED TO BE GOING AWAY AS WELL.
BUT, UH, THE, THE VALUES OF THOSE ARE FAIRLY LOW.
IT WON'T GO DOWN THROUGH THE PARK.
WEST OF THE PARK OR WILL IT GO THROUGH THE PARK? IT WILL NOT GO THROUGH THE PARK.
ANY OTHER QUESTIONS? CAN YOU REMIND ME, WAS THERE A HANDOUT ON THE EXPANSION OF THE PROPOSED EXPANSION OF THE GEORGE BUSH? I BELIEVE WE'VE HAD SOMETHING THAT WAS A LITTLE MORE DEFINITE.
WE, WE HAVE THAN A PAST MEETING.
IT'S IN IT'S, IT IS IN THE, UH, HARBOR POINT PLAN, THE OUTLAY OF IT.
BUT WE CAN ALSO, IF YOU WOULD PREFER JUST, UH, WE CAN GO LOOK ON TX DOTS OR, UH, NOT TEXT ON NC DA'S WEBSITE AND, AND WE CAN PUT IN THE BOX JUST A, UH, THE, UH, POTENTIAL DRAWINGS OF THAT IF IT, IF THAT WOULD BE HELPFUL.
JUST TO GIVE US AN IDEA OF WHERE IT'S GONNA GO THROUGH.
BECAUSE I BELIEVE THERE WAS A DISCUSSION ABOUT POSSIBLE ACCESS TO THE PARK AREA COMING OFF OF THAT TO THE PARK SINCE THERE'S ONLY ONE ACCESS REALLY INTO THAT PARK.
AND THERE WAS TALKING ABOUT AC WORKING WITH NTTA GETTING ACCESS POINT TO THAT PARK FROM THERE.
THAT'S A, THAT'S A GREAT POINT BECAUSE RIGHT NOW THERE'S ONLY ONE ACCESS INTO THAT PARK AND IT GOES THROUGH A RESIDENTIAL AREA IN THOSE, IN THOSE RESIDENTS WHEN THAT, WHEN THAT PARK WAS OPEN 24 HOURS AND WE WOULD GET EXTREMELY BUSY.
SO THAT IS ONE THING THAT WE ASKED THROUGH NEGOTIATIONS WITH THE ENTITY ENTITY.
WE ARE TRYING TO GET A BETTER ACCESS POINT INTO THAT PART BECAUSE IT IS PRETTY BAD RIGHT NOW.
ANY FURTHER QUESTIONS ON KIND OF JUST OUTLOOK OR FUTURE ITEMS BEFORE I LEAVE THE MATH AND MOVE INTO THE NUMBERS? WE CAN ALWAYS COME BACK TO THE MATH, BUT MY ONLY QUESTION IS, WE, YOU MENTIONED THE BASS PRO AR YOU KNOW, RIGHT.
WHERE BASS PRO IS AND THE WHATABURGER AND AND WHATNOT.
SO IS ANYTHING THAT IT NEW BEING DONE IN THAT AREA? DO THEY, DO THEY BENEFIT AS WELL FROM WHAT WE'RE WORKING ON HERE? OR IS THERE THE BASS PRO AREA DEAL DONE? THERE'S NO NEW DEVELOPMENT.
WE'RE NOT GONNA TRY TO DO ANYTHING ON WHERE THEY SIT IN THEIR PARKING LOT.
UH, THERE HAS BEEN SOME DISCUSSIONS WITH THE DEVELOPER THAT, THAT DEVELOPED BASS PRO ON POTENTIAL IDEAS, BUT SO FAR WE HAVEN'T COME, COME TO AN AGREED UPON, UH, SOLUTION FOR THAT AREA.
MAINLY BECAUSE THEY WERE ASKING WAY TOO MUCH MONEY FOR, FOR WHAT THEY WERE WANTING TO DO.
BUT THEY ARE OPENING AT THE TABLE.
UM, AND, AND OTHER DEVELOPERS HAVE ALSO PITCHED IDEAS THROUGHOUT THERE, BUT NOTHING THAT, THAT, UM, LET'S SAY THAT THIS FROM THE CITY PERSPECTIVE THAT WE ONE WE COULD AFFORD AND TWO IS PART OF THAT LONG RANGE PLAN.
SO WE DON'T WANT TO JUST, YOU KNOW, THROW AWAY THE, OUR MONEY TO A SPECIFIC PROJECT WHEN IT'S NOT PART OF A BIG, BIGGER CONCEPT.
THERE'S SOME ZONING RESTRICTIONS IN THERE THAT PREVENT OR ENCOURAGE CERTAIN ZONING.
AND AND THAT'S WHAT PART OF THE, THE, THE HARBOR POINT.
IT'S, I MEAN IT'S A SMALL AREA PLAN AND THAT'S WHAT IT WAS REALLY INTENDED TO DO, IS TO ENSURE THAT THE ZONING MATCHES WHAT THE VISION OF COUNCIL IS WANTING.
AND FOR REFERENCE THAT WAS PRESENTED AT OUR LAST MEETING AND IS IN YOUR BOX UNDER THE APRIL MEETING FILES, IF YOU EVER WANT TO GO FIND THAT, UH, PLAN AGAIN OR CROSS REFERENCE IT.
WE'RE A LITTLE, UH, AND, AND WITH COUNCIL TOO, WE'RE GONNA BE A LITTLE STINGY WITH THAT PROPERTY BECAUSE HONESTLY IT'S PROBABLY THE, THE GYM AS FAR AS UNIQUE PROPERTY IN GARLAND, UH, UNIQUE PROPERTY IN THE DALLAS METROPLEX, YOU'RE NOT GONNA FIND A AN AREA WITH THAT MUCH LAKEFRONT SURROUNDING IT.
ETTE DEVELOPMENT HAS PROBABLY HELPED MAKE THIS MORE DESIRABLE.
DESIRABLE, DON'T YOU THINK? AND, AND HOPEFULLY WE WILL LEARN FROM THE ROULETTE DEVELOPMENT, WHO DID NOT LEARN, WHO DID NOT LEARN FROM US WITH THE BASS PRO DEAL BECAUSE THAT HAS GONE COMPLETELY SOUTH ON THEM.
[00:30:02]
BE BEAUTIFUL DOWN THERE.YEAH, IT IS PRETTY DOWN THERE.
BUT UH, AS FAR AS A RESTAURANTS, YOU JUST SHAKING THE TABLE
FROM A FINANCIAL PERSPECTIVE, I'M SURE THEY'RE KICKING THEMSELVES THE CITY OF ALL THAT, BUT UH, THEY GOT THE DEVELOPMENT DONE AND WE CAN LEARN FROM THAT.
AND I THINK WHAT WE'RE LOOKING TO DO IS SOMETHING THAT IS UNIQUE TO GARLAND AND UH, UH, WE START, WE'RE STARTING WITH THE BOARDWALK, YOU KNOW, AND I THINK THAT'S GONNA BE A UNIQUE SITE PERSONALLY, UH, IN THE METROPLEX AS YOU DON'T SEE BOARDWALKS ON LAKES, AT LEAST IN THE DALLAS METROPLEX.
THE ONLY ONE I'M REALLY AWARE OF IS IN AUSTIN OFF OLD, IS IT LADY BIRD JOHNSON LAKE.
UH, SO THAT'LL WILL HAVE A UNIQUE ELEMENT TO START WITH.
WE'VE ALREADY SEEN WHAT HAPPENED IN ROCKWALL WITH THE, YOU KNOW, WHAT HAPPENED WHEN YOU JUST PUT SOMETHING CLOSE TO THE LAKE.
I'LL MOVE INTO THE NUMBERS, BUT WE CAN ALWAYS COME BACK TO THE MAP IF WE HAVE ANY, UH, LOCATION SPECIFIC QUESTIONS.
SO WE WENT OVER OUR ASSUMPTIONS.
WE'VE TALKED ABOUT SOME, YOU KNOW, OPPORTUNITIES THAT, UM, ARE IN NEGOTIATION OR THAT WE HOPE TO SEE ON THE HORIZON.
THOSE OPPORTUNITIES ARE NOT IN THESE PROJECTIONS.
UM, BUT WE HOPE TO, YOU KNOW, IN THE NEXT YEAR, COUPLE YEARS, COME BACK WITH THAT SHOWING YOU, HEY, THIS IS AN OPPORTUNITY FOR US NOT ONLY TO GENERATE TAXABLE VALUE, BUT ALSO TO, YOU KNOW, MAYBE PARTICIPATE TO MAKE SOME OF THESE PROJECTS HAPPEN.
I WANTED TO MENTION ONE OTHER THING TOO.
WE WERE GOING TO START, SO WE'RE IN THE, IN THE PAST, WE'RE ALWAYS VERY VAGUE ON THESE DEVELOPMENTS.
ONCE WE GET SOMETHING MORE, UH, ROLLING A LITTLE BIT MORE, WE'RE GONNA START, UH, OFFERING UP EXECUTIVE SESSIONS, WHICH, WHICH WILL BE VERY HELPFUL FOR Y'ALL BECAUSE WE'LL BE ABLE TO TURN THE MICS OFF AND TALK BEHIND CLOSED DOORS ABOUT LAND DEALS AND TALK A LITTLE BIT MORE ABOUT WHAT WE'RE TALKING ABOUT SO THAT Y'ALL CAN HAVE A BETTER PERSPECTIVE OF WHAT THAT IS.
ARE WE GONNA CHECK YOUR PHONES AT THE DOOR? NOW? YOU DON'T HAVE TO CHECK YOUR PHONES AT THE DOOR, BUT WE WILL PROBABLY HAVE A, A SHORT TRAINING SESSION BEFORE THAT WITH OUR CITY ATTORNEYS TO, TO UH, MAKE SURE THAT, UH, Y'ALL UNDERSTAND THAT UH, IT'S, IT'S CON CONFIDENTIAL INFORMATION.
SO MOVING ON TO WHAT WOULD BE YOUR SLIDE SEVEN? UM, LOOKING OVER THE NEXT, UH, 20 YEARS OF THE TIFF, UM, TOTAL PROJECTED REVENUE OF 71 POINT, ALMOST 7 MILLION.
YOU HAVE TOTAL EXPENDITURES, UH, BASED ON WHAT WE KNOW TODAY.
UM, PROJECTED CONTRIBUTIONS TO THE GENERAL FUND FOR PUBLIC SAFETY, UM, WHICH IS ABOUT 50 PER, WHICH IS 50% OF THAT, UH, INCREMENTAL TAX REVENUE.
UH, THAT TOTALS 35.8 MILLION OVER THAT 20 YEAR TERM.
AND THEN FINALLY OUR GNA CONTRIBUTION OF TOTALING ABOUT 1.1 MILLION OVER THAT 20 YEAR TERM.
CAN WE GO BACK FOR A SECOND? YES SIR.
THE PROJECTED REVENUE THAT'S NOT PROJECTED AT ONE POINT A HALF PERCENT GROWTH, IS IT? IT MUST BE.
IS THAT ONE POINT A HALF PERCENT? IT IS.
SO 20 YEARS, ONE AND A HALF PERCENT GET YOU MM-HMM
SO I WOULD HOPE WE CAN BEAT IT.
SO WHAT THAT LOOKS LIKE HERE ON SLIDE EIGHT IN TERMS OF OUR PROJECTED TAXABLE VALUE, UM, AND I HAVE IT BROKEN OUT, BOUGHT FROM OUR ORIGINAL ZONE, WHICH WOULD BE JUST WHAT YOU WOULD CALL THE TWO, THE, THE AREA OF THE MAP IN RED AND OUR EXPANSION, THE TWO A, WHICH IS THE AREA OF THE MAP IN BLUE, UM, IS, I DIDN'T INCLUDE 26 'CAUSE YOU HAVE THOSE NUMBERS FROM THIS YEAR'S PROPOSED BUDGET IN THAT ESTIMATE.
BUT THIS IS TAKING THAT 1.5% GROWTH FROM 2026 ESTIMATES FORWARD OUT THROUGH THE FINAL YEAR OF THE TIF, WHICH IS 2045 AT THIS TIME.
AND SO THIS IS JUST YOUR PROTECT PROJECTED TAXABLE VALUE.
UM, THAT IS, IF YOU REMEMBER FROM OUR VERY EARLIER DISCUSSIONS OF HOW TIF GETS ITS REVENUE IS, SO YOU HAVE YOUR BASE YEAR TAXABLE VALUE, WHICH ESSENTIALLY FROZEN IN TIME AND THE TIFF GETS ITS REVENUE FROM ANY INCREMENTAL GROWTH ABOVE AND BEYOND THAT BASE VALUE.
WHAT THIS IS REPRESENTED HERE IS THAT INCREMENTAL GROWTH AMOUNT, THAT INCREMENTAL TAXABLE VALUE THAT'S ABOVE YOUR BASE YEAR AMOUNT.
AND SO THIS IS WHAT YOUR REVENUE IS CALCULATED FROM.
AND SO YOU'LL SEE THAT FOR 2027
[00:35:01]
PRELIMINARY, TOTAL PROJECTED TAXABLE VALUE OF 417.2 MILLION AND THEN UP TO 2045 JUST AT THAT 1.5% GROWTH GETS YOU TO 643.7 MILLION IN TOTAL TAXABLE VALUE FROM THAT INCREMENTAL GROWTH.OF COURSE, YOU KNOW, REDEVELOPMENT NEW PROJECTS IN THAT AREA, NEW CONSTRUCTION WILL, WILL CHANGE THESE NUMBERS JUST AS JUST VALUE ON THE GROUND TODAY GROWING AT THAT RATE.
SO WHAT THAT LOOKS LIKE ON THIS SLIDE NINE IN TERMS OF YOUR ANNUAL REVENUE AND THEN THE, THE ANNUAL EXPENDITURE BASED ON THOSE TWO LINE ITEMS WE DISCUSSED WOULD BE, YOU KNOW, LOOKING IN 2027 AND UH, REVENUE OF ABOUT 2.88 MILLION THROUGH 2045 OF REVENUE OF 4.4 MILLION.
AND THEN YOUR EXPENDITURE GROWS PRIMARILY JUST FROM THE PUBLIC SAFETY SUPPORT LINE ITEM, WHICH GROWS AT FIF, YOU KNOW, 50% OF YOUR REVENUE, UM, FROM 1.5 IN 2027 TO THE 2.3 ALMOST IN 2045.
AND SO WE WILL BE UNDER THIS CURRENT PLAN ACCUMULATING A LARGE FUND BALANCE OVER THIS PERIOD.
AND THAT'S WHAT WILL BE AVAILABLE FOR US WHEN WE CONSIDER, YOU KNOW, ANY SHORT TERM INCENTIVES OR SHORT TERM ASK ON A PROJECT OR WE BRING FORWARD, YOU KNOW, A CONSIDERATION TO SUPPORT A LONGER TERM INCENTIVE OR LONGER TERM OR HELP SUPPORT THE DEBT SERVICE ASSOCIATED WITH THE PROJECT.
SO THAT IS REALLY WHAT, UM, WOULD BE AT THE CONSIDERATION, UH, FOR THE TIF BOARD IN THE FUTURE.
THAT'S ONE THING THAT WE CONSIDER AS THE TIF BOARD.
ARE, ARE, UH, TAX BREAKS TO CERTAIN DEVELOPMENTS OR IS THAT PART OF OUR IT, WELL IT TYPICALLY GETS NEGOTIATED, UM, AT THE CITY COUNCIL LEVEL, UM, THROUGH EXECUTIVE SESSIONS.
BUT WE WOULD, WE WOULD MAKE SURE TO BRING THAT TO THE TIFF BOARD THROUGH WHAT MATT WAS TALKING ABOUT WITH THE EXECUTIVE SESSION, UM, OF DOING A THREE 80 UH, AGREEMENT.
UM, DEPENDING ON THE TYPE OF DEVELOPMENT YOU MAY GIVE THEM, UM, YOU KNOW, AN AV AVALOR TAX REBATE, YOU MAY DO A SALES TAX REBATE, YOU COULD DO WAIVER OF DEVELOPMENT FEES OR PERMIT FEES.
UM, YOU COULD SUPPORT THE PROJECT BY DEMOLISHING THE EXISTING STRUCTURE THERE TO REDUCE THEIR OVERALL COST FOR CONSTRUCTION.
I MEAN THAT CAN TAKE MANY VARIOUS FORMS UNDER A THREE 80 AGREEMENT.
IT JUST DEPENDS ON THE PROJECT, THE GAP THAT THE DEVELOPER PARTNER IS APPROACHING THE CITY ASKING TO CLOSE AND, AND THE NEGOTIATIONS THAT HAPPENS WITH THE CITY MANAGER'S OFFICE.
I'M POINTING AT MATT 'CAUSE HE'S A MEMBER OF THAT.
OUR ECONOMIC DEVELOPMENT TEAM.
I'M INVOLVED JUST FROM A FINANCIAL PERSPECTIVE AND THEN LOOKING AT OUR AVAILABLE FUNDING SOURCES, WHETHER THAT'S WAIVING FEES WE WOULD OTHERWISE COLLECT OR LEVERAGING OUR, OUR TIF TWO FUNDS AS A RESOURCE.
SO WE'RE AN ADVISORY BODY TO THE COUNCIL, JUST LIKE THE PLANNING ZONING COMMISSION AS AN ADVISORY BODY TO THE COUNCIL.
AND THEN THEY WOULD CONSIDER OUR RECOMMENDATIONS MM-HMM
STAFF'S INPUT AND THEN COME UP WITH THEIR OWN DECISION.
IS THAT CORRECT? THAT'S CORRECT.
WE WOULD WANT, WE WOULD HOPE FOR THE TIF BOARD TO REVIEW AND, UH, AND AND AGREE WITH THE RECOMMENDATION AND BE IN SUPPORT OF THOSE OPPORTUNITIES WITHIN THE ZONE.
AS FAR AS THE, THE OWNER OF THE PROJECT PLAN, WHICH IS WHAT GOVERNS HOW YOU SPEND ALL THIS MONEY IS TECHNICALLY COUNCIL, BUT THEY CANNOT, UH, MAKE ANY CHANGES TO THAT PROJECT PLAN WITHOUT A RECOMMENDATION FROM, FROM THIS BOARD.
SO ANY UTILIZATION OF THE FUNDS THAT AREN'T CURRENTLY PROGRAMMED, THE PROJECT PLAN WOULD COME BACK THROUGH THIS BOARD.
I'D ALSO LIKE TO REMIND THE BOARD, UM, AS FAR AS THE EXPENDITURES GO AND THE PERCENTAGE OF THE, UM, GRANT IF YOU WILL, THAT WE PROVIDE THE 50% THAT CAN BE RAISED OR LOWERED BASED ON REGULAR REVIEW OF ACTUAL EXPENSES USED FOR PUBLIC SAFETY IN OUR TIFF AREA.
SO THESE NUMBERS HERE CAN GO UP OR DOWN.
AND I DON'T KNOW THAT, UM, WE'VE RECEIVED ANY KIND OF ESTIMATE AT THIS POINT OF WHAT'S GOING, WHAT'S, WHAT'S, WHAT HAPPENED IN THE PAST TWO OR THREE YEARS VERSUS WHAT WE MAY EXPECT IN THE FUTURE.
BUT I KNOW THAT WHEN WE MADE THAT PROPOSAL, THERE WAS AN UNDERSTANDING THAT WE COULD COME BACK AT A LATER
[00:40:01]
TIME, INCREASE IT, DECREASE IT AS THE BOARD SAW IT.RIGHT NOW IT'S, IT'S, IT IS USING THE 50% FOR THE PROPOSED BUDGET.
UM, UH, THE, THE PUBLIC SAFETY EXPENDITURES IN THIS ZONE ARE VASTLY OUTPACE THAT $1 MILLION.
BUT THERE IS A POTENTIAL BECAUSE WHAT, YOU KNOW, THE BOARD, JASON CALLER'S COMPLETELY CORRECT.
IF THIS TIFF TAKES OFF AND IT'S MAKING 20% EVERY YEAR, THERE WILL BE A TIME WHERE THIS BOARD CAN SAY, OKAY, LET'S KEEP OUR, OUR, OUR PUBLIC SAFETY INVESTMENT.
MAYBE WE REDUCE THAT DOWN TO JUST A 3% INCREASE PER YEAR OR WHATNOT.
SO THERE ANY CHANGES LIKE THAT AND OF COURSE THAT, THAT'S A RECOMMENDATION THAT WOULD HAVE TO GO TO COUNCIL.
BUT THAT IS SOMETHING THAT CAN CHANGE AS WE MOVE FORWARD.
BUT SINCE WE'RE USING SUCH BASELINE, THESE PROJECTIONS ARE MORE JUST BASELINE, WE'RE LEAVING JUST THE 50% ASSUMPTION.
'CAUSE THAT'S WHAT'S IN THE PLAN RIGHT NOW MM-HMM
I THINK THAT WAY WE'RE GONNA BE EVALUATING THAT ESTIMATE FOR THAT AREA.
SO WE'RE GONNA TAKE THE OVERALL COSTS.
KIND OF FIND OUT, FIGURE OUT WHAT OUR PERCENTAGES OF THAT AREA VERSUS CITYWIDE.
AND THEN BASE IT, BASE IT 20%, LIKE 20% OF THE WHOLE CITY.
IS THAT ABOUT RIGHT? IF I REMEMBER CORRECTLY, I BELIEVE WE DID DISCUSS THAT.
UM, I CAN PULL THE NOTES AND THEN WE CAN GET THOSE FIGURES TO OKAY.
I, YEAH, I DON'T KNOW THAT I'VE EVER SEEN THOSE NUMBERS MM-HMM
TO SEE WHAT THEY ACTUALLY WERE.
WE CAN BRING THAT FORWARD TO YEAH.
EITHER, EITHER THE NEXT MEETING OR AS SOON AS WE CAN GET IT PUT TOGETHER.
WE DON'T WANNA SPEND ALL Y'ALL'S MONEY ON
I'M JUST GONNA GO BACK TO THE KIND OF THE HIGH LEVEL SUMMARY AND THEN, AND THEN I'LL JUST PAUSE IF THERE'S ANY ADDITIONAL, UM, QUESTIONS OR DISCUSSION, UM, RELATED TO ITEM THREE C.
I DON'T HAVE ANYTHING I WAS GONNA ADD.
THIS IS THE PROPOSED BUDGET THAT'S IN FRONT OF COUNCIL AND WHY WE'RE HERE.
BUT AT, AT ANY TIME, UH, AS THINGS HAPPEN, UH, THAT BUDGET CAN BE AMENDED.
SO THAT'S KIND OF THE APPROACH WE ALWAYS TAKE WITH TIFFS IS, UH, YOU, YOU, AGAIN, YOU PUT WHAT YOU KNOW EXIST AND THEN, UH, YOU KNOW, AT ANY POINT DURING THE YEAR WE CAN MAKE ADJUSTMENTS.
UH, UH, OUR APPROACH HAS TYPICALLY BEEN NOT TO ALLOCATE ANYTHING UNTIL WE HAVE AN ACTUAL DEVELOPMENT IN THE WORKS AND WE WOULD COME THROUGH THIS BOARD WITH ANY OF THOSE AMENDMENTS AND PROJECTS.
I'M INTERESTED TO KNOW WHAT'S HAPPENING OVER AT ROSE HILL.
THE ATMOSPHERE ON IT THAT DOESN'T HAVE A SPHERE ON IT, THAT DOESN'T HAVE A SPHERE ON IT.
WE MOVE ON TO UH, ITEM NUMBER FOUR, FUTURE AGENDA ITEMS THING THAT, UH, ANYBODY WOULD LIKE TO PARTICULARLY SEE.
I FOR ONE, WOULD LIKE TO SEE THE GISA MAP WITH THE
I THINK THAT'LL BE A FUTURE AGENDA ITEM UNTIL IT ACTUALLY HAPPENED.
UM, SO STANDING FUTURE, WE, WE WILL, I WOULD DEFINITELY LIKE, YOU KNOW, TO SEE THE MAP AND UH, KEEP UP WITH THE UPDATES OF HARBOR, HARBOR POINT.
YOU KNOW, UM, ANYBODY, ANYTHING ELSE? UH, JUST WHAT WE ASKED, UH, JUST A SECOND AGO ABOUT THE, THE PUBLIC SAFETY.
THE PUBLIC SAFETY PERCENTAGE OF EXPENDITURES.
WE CAN GET THAT FOR THE NEXT MEETING.
AND THEN WE CAN ALSO BACK TO THE, THE BOARD WHILE WE WILL CHECK WITH OUR PROJECT MANAGEMENT OFFICE.
THEY'RE IN DESIGN RIGHT NOW WHEN, UH, I GUESS MY RECOMMENDATION AND LET THEM HAVE THAT DESIGN COMPLETED AND THEN WE CAN BRING THAT BACK TO, TO SHOW Y'ALL WHAT WHAT HAS BEEN DESIGNED OUT THERE.
I'M NOT SURE WHERE THEY'RE AT ON THAT PROJECT TO BE HONEST.
I JUST DON'T KNOW HOW FAR ALONG.
AND REMIND ME HOW FAR AROUND THAT BOARDWALK'S GONNA GO.
IS IT GONNA GO ALL THE WAY TO JOHN PAUL OR FURTHER TO JOHN PAUL? PAUL JONES? I DON'T THINK IT GOES PAST JOHN.
I THINK IT GOES ALL THREE NAMES.
[00:45:01]
I THINK IT GOES TO JOHN PAUL JONES UNDER THE BRIDGE.
JOHN PAUL JONES KINDA STOPS AT, UH, GEORGE BUSH.
IT MIGHT BE A LITTLE BIT EAST OF THAT, BUT NOT MUCH.
AND SO THAT WOULD BE A NATURAL STOPPING PLACE FOR IT.
I LIVE JUST ON THE WEST SIDE OF GEORGE BUSH, SO TO ME THAT WOULD BE A NATURAL STOPPING PLACE FOR IT.
BUT DOESN'T, ISN'T THERE A WALKWAY LIKE LAND WALKWAY THAT CONTINUES AROUND OR THAT'S THE, THAT IS A, THE, THE FUTURE INTENT.
THAT'S WHY ON THE TIFF YOU SEE THAT TAKE LINE OF DALLAS, THE INTENT IS TO HAVE A WALKING TRAIL ALL THE WAY TO, UH, WHEN JOYCE PARK, I BELIEVE IS WHAT IT, WHERE IT'S GONNA GO.
I'VE ALREADY DONATED AS A SIDEWALK AT MY HOUSE FOR THAT SECTION OF IT.
OH, HAVE YOU
AND THEY'VE, WE'VE ALREADY CONSTRUCTED AT THE, UH, A SOUTH END OF THE HARBOR POINT.
THERE'S ALREADY A WALKING TRAIL OF SIDEWALKS.
I CAN'T REMEMBER THE STREET IT GOES TO, BUT THERE'S ALREADY A WALKING TRAIL THAT WILL CONNECT INTO THAT BOARDWALK.
AND SO THE HOPE IS TO HAVE IT GO ALL THE WAY AROUND AS, AS THAT DESIGN'S DONE.
I KNOW THEY'RE HAVING FITS BECAUSE AS Y'ALL CAN IMAGINE BUILDING ON WATER, UH, AND THERE'S SOME GNARLY WINDS THAT COME THROUGH THERE.
SO THEY'RE HAVING TO REALLY ENGINEER THOSE THE, TO MAKE SURE IT'S SECURE, NO WIND BREAK.
AND WE, I HAVE A DOCK AT MY HOUSE AND THE NORTH WIND BLEW SO HARD LAST WEEK THAT THE WAVE ACTION KNOCKED THE BOARDS UP OFF OF THE, YOU KNOW, TORE THE, THE SCREWS THAT HOLD THE DECKING DOWN OFF, OFF OF IT.
AND SO IT, WHAT YOU SAY IS EXACTLY RIGHT.
WIND END IN A WAVE ACTION IS, IS PRETTY SERIOUS.
IT WON'T BE A FLOATING DOCKET.
IT WILL BE UH, YOU KNOW, OBVIOUSLY PUT IN PLACE, BUT IT'S STILL, YOU CAN GET SOME BAD WAVES OVER THERE.
SO WE, IT'S GOTTA BE TOTALLY READY.
'CAUSE THE LAST THING WE WANT IS TO SPEND THAT KIND OF MONEY AND IT'D JUST BLOW AWAY.
OR WE CAN CHARGE ADMISSION FOR PEOPLE TO BE ON IT.
LIKE THE PLUME RIDE AT THE FAIR,
WE'LL HAVE THE SPLASH DOWN KIND OF LIKE, UH, SEAWORLD SIX.
ALRIGHT, WELL THANK YOU VERY MUCH FOR Y'ALL'S PRESENTATIONS.
ANY OTHER BUSINESS? NOT THAT I CAN TELL YOU A MOTION TO ADJOURN.
MOTION TO ADJOURN? YOU GOT A MOTION? SECOND.