Title
Consider/Discuss/Act on an Ordinance Amending the Project Plan for Tax Increment Reinvestment Zone Number One
Summary
COUNCIL GOAL: Enhance the Quality of Life in McKinney
(5C: Promote reinvestment activities and ordinance changes in McKinney’s historic downtown that balance preservation of historic character and current market needs)
MEETING DATE: September 30, 2024
DEPARTMENT: Development Services - Planning Department
CONTACT: Jennifer Arnold, AICP, Director of Planning
RECOMMENDED COUNCIL ACTION:
• Staff recommends approval of the proposed ordinance.
ITEM SUMMARY:
• This item is to consider amendments to the Project Plan for Tax Increment Reinvestment Zone No. 1.
• The proposed amendments are intended to capture the discussion and direction received by the Board at their Board meeting on August 27, clarifying eligible projects, economic development opportunities and the overall administration of the TIRZ.
• Proposed amendments to the Project Plan include:
o Remove Figure 3 related to the identification of anticipated ‘catalyst’ and ‘vacant/underutilized’ sites;
o Update and clarify the definition of Catalyst projects;
o Add two new project categories: Innovation/Pilot Program and District Enhancement; and
o Clarify TIRZ-eligible expenses throughout.
BACKGROUND INFORMATION:
• The Project Plan of the TIRZ focuses on support for catalytic projects for the continued revitalization of the Town Center; key regional transportation infrastructure for effect access and linkages throughout the Town Center including connections between the Historic Square to the west of Highway 5 and the future Transit-Oriented Development (TOD) to the east of Highway 5, as well as safe auto, pedestrian and bicycle movements along Highway 5 and within the supporting street network of the Town Center infrastructure and development of the TOD; and for other potential locations and projects that provide opportunity for redevelopment.
• The TIRZ was created with the primary intention of collection and retaining revenues (in the TIRZ) for aggregation to facilitate long-term financing for critical transportation infrastructure and other substantial catalyst projects to support and encourage sustained revitalization of the Town Center.
• The authority of the Board of Directors is established by City Ordinance No. 2010-09-034 creating the TIRZ, Board authority includes the making of recommendations to the City Council concerning the administration of the TIRZ; and adopting (and amending as needed in the future) a project plan and financing plan consistent with the preliminary project plan and finance plan subject to final approval by City Council.
• The TIRZ has the authority under Chapter 311 of the State Tax Code and Chapter 380 of the Texas Local Government Code to make loans or grants of TIRZ funds for the purposes of promoting local economic development and stimulating businesses and commercial activity within the TIRZ.