STRATEGIC PRIORITY: Economic Development
AGENDA DATE: February 22, 2023
COUNCIL DISTRICT(S): 8, 12
DEPARTMENT: Office of Economic Development
EXECUTIVE: Majed Al-Ghafry
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SUBJECT
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A resolution accepting the FY 2021-2022 Annual Report on the status of Tax Increment Financing Reinvestment Zone Number Twenty-One (University TIF District or District) and authorizing the City Manager to submit the annual report to the Chief Executive Officer of each taxing jurisdiction that levies taxes on real property in the District, and to the State Comptroller, as required by state law - Financing: No cost consideration to the City
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BACKGROUND
During FY 2021-2022, the City had 19 active tax increment financing (TIF) districts. State law (the Tax Increment Financing Act, Texas Tax Code, Section 311.016, as amended) requires that the City Council, as the City’s governing body submit an annual report on the status of each reinvestment zone it has created to the Chief Executive Officer of each taxing jurisdiction that levies taxes on real property in the zone, as well as to the State Comptroller.
On December 13, 2017, City Council authorized the establishment of Tax Increment Financing Reinvestment Zone Number Twenty-One (University TIF District) by Ordinance No. 30733, as amended. On December 9, 2020, City Council authorized the Project Plan and Reinvestment Zone Financing Plan for this District by Ordinance No. 31713.
The University TIF District's assessed 2022 taxable value was $364,329,036.00. This represents an increase of 632% ($314,554,594.00) from the assessed value of the base year (2017). With the participation of the City, this increase will result in the collection of approximately $2,111,353.00 in total incremental revenue for the University TIF District for the 2022 tax year. A potential scenario for Dallas County participation (for the University Hills Sub-District only) has been presented in this Plan that forecasts County participation at 65% for 20 years in tax years 2025-2044, pending formal approval by the Dallas County Commissioners Court at a later date.
PRIOR ACTION/REVIEW (COUNCIL, BOARDS, COMMISSIONS)
On December 13, 2017, City Council held a public hearing and authorized the establishment of Tax Increment Reinvestment Zone Number Twenty-One, the University TIF District by Resolution No. 17-1941; and Ordinance No. 30733, as amended.
On December 9, 2020, City Council authorized the Project Plan and Reinvestment Zone Financing Plan for this District by Resolution No. 20-1894; and Ordinance No. 31713.
The Economic Development Committee was briefed by memorandum regarding this matter on February 6, 2023. <https://cityofdallas.legistar.com/View.ashx?M=F&ID=11619890&GUID=E1A6EAE3-72D0-4665-B253-026DD5F2DB9B>
FISCAL INFORMATION
No cost consideration to the City.