Title
Consider/Discuss/Act on a Resolution Approving the 2015 Annual Report for Tax Increment Reinvestment Zone Number Two (TIRZ No. 2)
Summary
COUNCIL GOAL: Financially Sound Government
MEETING DATE: February 16, 2016
DEPARTMENT: Financial Services
CONTACT: Rodney Rhoades, Chief Financial Officer
RECOMMENDED ACTION:
• Staff recommends approval of the 2015 Tax Increment Reinvestment Zone Number Two (TIRZ No. 2) Annual Report.
ITEM SUMMARY:
• The City of McKinney is required by the State of Texas to submit an annual report on activity in the TIRZ.
• Revenues for the TIRZ Fund are generated by a portion of property tax and sales tax captured in the zone. The 2015 City of McKinney and Collin County ad valorem increment totals of $58,547.66 were recorded in the 2014 report. The City of McKinney sales tax increment totals $298,107.88.
• TIRZ No. 2 had the following expenditures for the 2015 reporting period:
o $4,500 for G&A expenses
BACKGROUND INFORMATION:
• TIRZ No. 2, also known as the Airport TIRZ, is to provide the infrastructure support necessary to fulfill the mission of the airport.
FINANCIAL SUMMARY:
• The total tax increment received into the TIRZ No. 2 fund consisted of the following:
o 100% of captured City of McKinney real and business personal property tax (recorded in 2014 report):
• $47,208.76
o 50% of captured Collin County real and business personal property tax (recorded in 2014 report):
• $11,338.90
o 100% of captured City of McKinney sales & use tax:
• $298,107.88
o Current fund balance in TIRZ No. 2 is approximately $1,613,380.87
BOARD OR COMMISSION ACTION:
• The TIRZ 2 Board approved the 2015 annual report on January 19, 2016.
CITY COUNCIL RECOMMENDATION:
• Upon approval on February 16, 2016, staff will submit the report to all entities in Collin County and the Texas State Comptroller’s Office.