The URL can be used to link to this page

Home My WebLink AboutDowntown_TIRZ_Board_Agenda_8_4_2022_4367Notice of Meeting for the Downtown T I RZ B oard of the City of Georgetown August 4, 2022 at 3:00 P M at Georgetown City Hall Community Room, 808 Martin L uther K ing Jr. St. T he C ity of G eorgetown is committed to compliance with the Americans with Disabilities Act (ADA). If you require as s is tance in partic ipating at a public meeting due to a disability, as defined under the ADA, reas onable as s is tance, adaptations , or ac commodations will be provided upon request. P leas e c ontact the C ity S ec retary's O ffic e, at leas t three (3) days prior to the sc heduled meeting date, at (512) 930-3652 or C ity Hall at 808 Martin Luther King Jr. S treet, G eorgetown, T X 78626 for additional information; T T Y users route through R elay Texas at 711. L egislativ e Regular Agenda A C ons ideration and possible approval of the minutes from the Augus t 10, 2021 Downtown Tax Increment R einvestment Zone (T I R Z) Board Meeting – Mayor Josh S c hroeder, C hair B P resentation of the annual financial report for the Downtown Tax Inc rement R einvestment Zone –Nathan P arras, As s is tant F inance Director Adjournment Ce rtificate of Posting I, R obyn Densmore, C ity S ecretary for the C ity of G eorgetown, Texas, do hereby c ertify that this Notic e of Meeting was posted at C ity Hall, 808 Martin Luther King Jr. S treet, G eorgetown, T X 78626, a plac e readily acc es s ible to the general public as required by law, on the _____ day of _________________, 2022, at __________, and remained s o posted for at leas t 72 c ontinuous hours prec eding the s cheduled time of said meeting. __________________________________ R obyn Dens more, C ity S ec retary Page 1 of 29 City of Georgetown, Texas Downtown T I RZ Board August 4, 2022 S UB J E C T: C onsideration and pos s ible approval of the minutes from the August 10, 2021 Downtown Tax Inc rement R einves tment Zone (T I R Z) Board Meeting – Mayor Jos h S chroeder, C hair IT E M S UMMARY: F IN AN C IAL IMPAC T: . S UB MIT T E D B Y: S haron P arker AT TAC H ME N T S: Description Type Minutes Backup Material Page 2 of 29 Minutes Downtown Tax Increment Investment Zone (TIRZ) Board City of Georgetown, Texas August 10, 2021 at 9:00 AM The Downtown TIRZ Meets annually, this is a draft of the minutes from the 2021 annual meeting. These minutes will be reviewed for approval at the next annual meeting. Page 3 of 29 Minutes Downtown Tax Increment Investment Zone (TIRZ) Board City of Georgetown, Texas August 10, 2021 at 9:00 AM The Downtown Tax Increment Investment Zone (TIRZ) Board met on August 10, 2021 at 9:00 AM at City Hall, 808 Martin Luther King Jr Street, Georgetown, Texas Board Members Present: Board Members Absent: Mayor Josh Schroeder, Chair Rusty Winkstern, DT Bus Owner Amanda Parr, CC District 1 Karen Soeffker, DT Bus Owner Christine Tomaszewski, MS Board City Staff Present: David Morgan, City Manager Laurie Brewer, Assistant City Manger Leigh Wallace, Finance Director Elaine Wilson, Assistant Finance Director Michaela Dollar, Economic Development Director Kim McAuliffe, Downtown Development Manager Britin Bostick, Senior Planner Eric Johnson, Public Works Director Trish Long, Facilities Manager Sharon Parker, Board Liaison Others present: Regular Agenda: Mayor Josh Schroeder Called the meeting to order at 9:00 a.m. A. Consideration and possible action to approve the minutes from the July 29, 2020 Downtown Tax Increment Reinvestment Zone (TIRZ) Meeting – Mayor Josh Schroeder, Chair. Motion to approve the minutes as presented by Christine Tomaszewski, second by Amanda Parr . Approved 3-0, Rusty Winkstern and Karen Soeffker absent. B. Presentation of the annual financial report for the Rivery Tax Increment Reinvestment Zone – Laurie Brewer, ACM Leigh Wallace, Finance Director, provided an overview of the Board membership, as well as an overview of Tax Increment Financing/Tax Increment Reinvestment Zones, their purpose, how they are utilized, as well as the role of the Advisory Board. Wallace also presented a map that outline the Downtown TIRZ Boundary. Leigh presented the presentation for the annual financial report. Page 4 of 29 Minutes Downtown Tax Increment Investment Zone (TIRZ) Board City of Georgetown, Texas August 10, 2021 at 9:00 AM Discussion: Has any of the TIRZ money been paid out to private developers for any approved projects within the TIRZ? Most of this seems like we would be paying ourselves back. We have done this before, it has been for developers that put in public infrastructure. Right now there is one project that is current – the Grace Plaza. The walkway and seating area was installed by the developer and we are reimbursing them. There’s not a ton of money so we look for opportunities to leverage the TIRZ money but open to those partnerships as long as those areas are not going to be specific to that business. This was a weird year with covid, because of the delay in the parking garage. The original plan was for some of this TIRZ money to be spent towards the debt service on the parking garage. We shifted that when we paused the parking garage. Right now there is no debt service being paid. We shifted those funds to go towards the transfer station. Garbage rates are now paying for that debt. We thought it was important to work on the garbage situation. Council had approved a pilot program for a concierge service, Council wanted to utilize a $100,000 of TIRZ money to start that project but then to be gradually funded by the property and business owners downtown. We also used some of the maintenance money to fund some of the barricades that we use for the expansion of the outdoor dining on the weekends. We also approved some of the electric services and design work for improvements to the shotgun house. Replacing trash cans. No Action Needed C. Presentation of Downtown Public Spaces – Laurie Brewer, ACM Kim McAuliffe presented the presentation for Downtown Public Spaces, there was a public placemaking engagement and there were approximately 175 citizens attend. They had received over 900 public surveys, approximately 90,000 citizens reached digitally. 71% of citizens support or highly support this. Kim presented results of the public feedback for the City Center Project – this had a lot of the focus in the public survey. People really loved the addition of green space in the area. They also suggested we incorporate more shade and public restrooms. They expressed concerns for parking especially near the library. Kim presented the feedback for the shotgun house, we surveyed the neighborhood as well to make sure we were hearing what everyone who had a major stake in this project would like to see. They wanted to see the shotgun house incorporated with City Center. The enhancements would add to the area and create a historic attraction inclusive to our city. They really loved the kiosk concept. They would like to see more traditional style seating options. Discussion: where the food trucks are placed, is that the current parking lot on the side of planning? Yes. Will that stay as parking surface? As for now it will stay that way. We have had a lot of feedback that people really like having small little festivals in this area. Is the kiosk something that is changing regularly, who is managing it? It is not meant to be changing, more of a history of the neighborhood and surrounding area. What about screens with maybe some sort of audio or video of interviews? Some sort of oral history that is easy to maintain. We could put QR codes. What type seating do they prefer – bench seating. Page 5 of 29 Minutes Downtown Tax Increment Investment Zone (TIRZ) Board City of Georgetown, Texas August 10, 2021 at 9:00 AM Motion from Amanda to Adjourn Meeting with a 2nd by Christine, Meeting adjourned at 9:31 am. __________________________________ ____________ Mayor Josh Schroeder Date Board Chair ___ _______________________________ ____________ Sharon Parker Date Board Liaison Page 6 of 29 City of Georgetown, Texas Downtown T I RZ Board August 4, 2022 S UB J E C T: P res entation of the annual financ ial report for the Downtown Tax Increment R einves tment Zone –Nathan P arras , Assistant F inanc e Direc tor IT E M S UMMARY: An annual meeting of the T I R Z board is required by the by-laws . T his is traditionally completed in late S ummer, s o that the board c an review the previous year’s financial activity, as well as have a preview of the upc oming budget proposal for the T I R Z. S P E C IAL C O N S ID E R AT ION S : C ouncil is sc heduled to ac t on all c omponents of the F Y2023 budget in August 2022. F IN AN C IAL IMPAC T: . S UB MIT T E D B Y: S haron P arker AT TAC H ME N T S: Description Type Pres entation Pres entation Page 7 of 29 Downtown Tax Increment Reinvestment Zone Fiscal Year 21 Year End Balances Fiscal Year 22 and 23 Budget Update Page 8 of 29 22 Tax Increment Reinvestment Zones •Also called TIF –Tax Increment Financing •Geographical area where property tax revenues are dedicated from incremental increase in assessed values towards improvements in the zone •Property would not develop otherwise •Sets aside additional revenue accrued due to valuation increases after establishment of TIRZ •Improvement plan is approved •Revenues to be utilized towards improvements in the district •Authorized by Texas Constitution and Chapter 311 of Tax Code Page 9 of 29 33 Role of Board •Advisory to the Council •Council is final decision point for TIRZ activity •Board approves/recommends the project and funding plans •Annual meetings required to review financial activity Page 10 of 29 44 Background •Created to support the infrastructure for the Downtown Master Plan •Updated 2014 •TIRZ began 2003 •Expanded in 2014 •End Date 2044 •100% of City tax increment Page 11 of 29 5 Project Plan Page 12 of 29 6 Expanded Boundaries of TIRZ in 2014 Page 13 of 29 77 FY2022 Projections •After the CAFR process, the FY2021 ending balance totaled $798,285. •FY2022 revenues are projected to finish the year slightly higher than budget @ $436K •FY2022 expenses are projected to finish the year at budget, $799K •Timing of projects Page 14 of 29 88 FY2022 Budget/Projects •Maintenance -$185,000 •Includes electric service to expand holiday lighting •Administration -$10,500 •Includes fees for appraisal district, tax collection, accounting/finance, legal and city management •Design for City Center (rollforward) $14K •$14,100 Art •Transfers Out $590K •$262,500 Founders Park Expansion -Construction •$262,500 City Center Open Space Improvements –design •$65,000 Downtown Trash Ambassador program Page 15 of 29 9 Founders Park/South Main Arts Page 16 of 29 10 City Center –Outdoor Public Gathering Space Page 17 of 29 11 Page 18 of 29 12 Page 19 of 29 13 Page 20 of 29 14 Page 21 of 29 15 Page 22 of 29 1616 FY2023 Budget •FY2023 revenues total $610K which represents an increase of 40% over FY2022 projections. •Continue to see growth in assessed value in the TIRZ Page 23 of 29 17 Page 24 of 29 1818 TIRZ Value Year Total AV Base Value TIRZ Value Increment Tax Rate TIRZ Revenue FY2005 37,072,593 37,072,593 - - FY2006 42,204,899 37,072,593 5,132,306 0.346 17,771 FY2007 44,379,115 37,072,593 7,306,522 0.367 26,835 FY2008 53,224,063 37,072,593 16,151,470 0.357 57,595 FY2009 59,527,603 37,072,593 22,455,010 0.356 79,989 FY2010 60,167,707 37,072,593 23,095,114 0.356 82,269 FY2011 64,999,295 37,072,593 27,926,702 0.356 99,480 FY2012 67,517,398 37,072,593 30,444,805 0.388 117,974 FY2013 70,344,431 37,072,593 33,271,838 0.410 136,415 FY2014 74,097,357 37,072,593 37,024,764 0.440 162,724 FY2015 78,658,889 37,072,593 41,586,296 0.434 180,485 FY2016 88,381,374 37,072,593 51,308,781 0.434 222,680 FY2017 88,039,461 37,072,593 50,966,868 0.424 216,100 FY2018 93,022,411 37,072,593 55,949,818 0.420 234,989 FY2019 99,287,162 37,072,593 62,214,569 0.420 261,301 FY2020 108,716,972 37,072,593 71,644,379 0.420 300,906 FY2021 118,577,519 37,072,593 81,504,926 0.418 340,691 FY2022 140,429,992 37,072,593 103,357,399 0.401 414,463 FY2023 198,883,041 37,072,593 161,810,448 0.374 605,171 Downtown TIRZ Page 25 of 29 1919 FY2023 Budget/Projects FY2023 expenses total $568,901 •Maintenance $150,000 •Administration -$6,401 •Includes fees for appraisal district, tax collection, accounting/finance, legal and city management –based on updated allocation study in FY22 •$35,000 transfer to General Fund for trash ambassador •Year 3 of the plan to transition $100K program cost to rate payers Page 26 of 29 2020 FY2023 Budget/Projects •Capital -$325,000 •$15,000 Art •$60,000 Bollards for Festival Street closures •$52,500 Design for Signature Gateway -Downtown •$150,000 implementation of wayfinding signage •$100,000 payment to Watkins for Grace Heritage Plaza (rollforward) •$202k Debt service reserve funding for the debt for downtown parking garage issue in FY23 •$100K Capital reserve for future capital Page 27 of 29 FY2021 Actuals Amended Budget Projected Base Budget Changes Proposed Budget Beginning Fund Balance 754,162 424,033 798,285 434,285 - 434,285 Revenue 40001:Property Taxes 354,416 415,497 431,000 605,171 - 605,171 42001:Interest Income 2,382 5,000 4,600 5,000 - 5,000 Revenue Total 356,799 420,497 435,600 610,171 - 610,171 Expense Operations Total 46,464 160,500 195,500 256,401 - 256,401 Operating Capital 10,097 15,000 14,100 15,000 - 15,000 Capital Total 405 - - - - - Transfers 255,710 590,000 590,000 237,500 60,000 297,500 Expense Total 312,676 765,500 799,600 508,901 60,000 568,901 Ending Fund Balance 798,285 79,030 434,285 535,555 (60,000) 475,555 Reserves Contingency - - - 202,500 - 202,500 Capital Reserve - - - 100,000 - 100,000 Reserves Total - - - 302,500 - 302,500 Available Fund Balance 798,285 79,030 434,285 233,055 (60,000) 173,055 Downtown TIRZ FY2022 FY2023 Page 28 of 29 2222 Questions Page 29 of 29