2.  Overview of Project  Economic Development Tools  Municipal Management Districts  Tax Increment Reinvestment Zones  Session Review, Q&A

3.  Boundary  Existing Conditions  Land Uses  River Bend  Property Values

10.  Municipal Management Districts  Tax Increment Reinvestment Zones

11.  Purpose  Created to promote, develop, encourage and maintain employment, commerce, transportation, housing, tourism, recreation, arts, economic development, safety and the public welfare within a defined area.  Eligibility Criteria  Created through State Legislature pursuant to stakeholder petition  Area devoted primarily to commercial development or business activity  Powers and Duties:  Governed by the municipality in which it is created  May levy taxes, assessments, or impact fees in accordance with its Service Plan and only by petition of affected property owners

12.  Permitted Services and Projects  District may provide services and improvements related to:  Economic development  Business recruitment  Promotion of health and sanitation  Public safety, traffic control and recreation  Landscaping, lighting and signs  Streets, walkways and drainage  Solid waste, water, sewer and power facilities  Parks, historic areas and works of art  Parking facilities and transit systems

13.  Revenue  District may raise revenue through taxes, assessments or impact fees  Assessments must be requested by petition of affected property owners  Bonds  A district may issue bonds as allowed by its local governing municipality or county

14.  Administration  A board of directors is appointed in creating legislation  New appointments/reappointments administered by board and apporoved by local governing authority  Directors sever four-year, staggered terms  Duration  Municipal management districts exist until dissolved by:  Petition of property owners  Vote of the board  Resolution of the local governing authority

15.  Public Safety  Provide graffiti abatement and prevention  Enhance public street lighting  Establish partnerships with police and other public safety agencies  Enhance traffic control devices where necessary  Initiate safety awareness programs and activities  Advocate for security needs with county, city, state and federal agencies

16.  Business Development  Establish marketing plan  Develop cohesive growth strategy  Support preservation of historic properties and structures  Provide public relations and marketing support  Develop District web site and other media  Sponsor market research  Partner with local chambers of commerce and business organizations

17.  Transportation Planning  Develop transportation and mobility master plan  Enhance amenities for pedestrians and cyclists  Improve public transportation shelters, seating and trash services  Provide for traffic flow studies and assist in mobility projects  Way finding signage  Parking improvements

18.  Visual Improvements & Cultural Promotion  Streetscape, planter and pocket parks  Support and maintain public art  Provide supplemental mowing, trash pick up and bandit sign removal  Preserve, enhance and expand public parks and trails  Create District identity and inviting streetscapes

19.  Purpose  A TIRZ is implemented to help finance public infrastructure development that would not occur “but for” creation of the Zone.  Powers and Duties  Zone exists to finance public improvements and enhance infrastructure within a defined area  Tax increment financing can only be initiated by a city or county  County is eligible to participate by agreement

20.  Eligibility Criteria  A city must conclude that one of the following is true of conditions within the Zone:  Area is predominantly open with physical and economic constraints to development  An area’s tax base is relatively low  There is significant potential to stimulate new development  Defective or inadequate sidewalks, utilities or street layout  Faulty lot layout in relation to size, adequacy, accessibility or usefulness

21.  Concept  City establishes a Zone and it’s real property Base Value  Private or public investors construct public infrastructure within Zone  Real property values increase  Increase in real property value (increment) pays for new infrastructure  Zone expires, taxing jurisdiction retain total tax revenue

22.  Revenue  Revenue is derived from the increment created by public/private investment  Bonds  The TIRZ may issue bonds by the city or through other entity  Project Plan and Finance Plan  Governs and delimits proposed use of incremental revenues

23.  Permitted Uses of Increment  Capital project costs including but not limited to:  Paving  Drainage  Sanitary Sewer  Water  Public Use Facilities  Streets & Street Lights  Parking Facilities  Professional services including but not limited to:  Architectural  Planning  Engineering  Legal  Imputed administrative costs  Environmental Studies  Operation and Administration of the Zone  Financing

24.  Administration  Zone typically administered by 7 member board of directors  Board appointed by the city and other taxing jurisdictions  Members are appointed for two-year terms  Vacancies filled by city (or taxing unit) appointment  Duration  Zone is dissolved when the earlier criteria is met:  Termination date designated in the ordinance  TIRZ termination ordinance adopted subsequent to the creation of the zone  When all project costs, notes, other obligations, bonds and interest on those bonds have been paid in full

25. Houston P.O. Box 22167-2167 Houston, Texas 77227 (713) 595-1200 Arlington 805 E. Abram, Suite 200 Arlington, Texas 76010 (817) 807-5782 Rio Grande Valley P.O. Box 720339 McAllen, Texas 78504 www.hhcllp.com