A quick note
Zipp Family Sports Park is a 150-acre multisport park which will soon serve as a hub for local youth baseball, softball and soccer leagues. The $40 million project is funded by a 2013 voter-approved bond, as previously reported by Community Impact.
The approval was part of a first reading of the ordinance to City Council. The second reading of the ordinance to designate the area as a TIRZ is slated for Nov. 10 during the City Council's next regular meeting, Deputy City Manager Jordan Matney said.
All ordinances must be read in an open meeting and approved by council twice—the first being when it is officially introduced and the second acting as official approval to implement the ordinance, according to the council's rules and regulations.
What you need to know
A TIRZ is a tool available to cities to create development zones that increase property values and long-term tax collections through tax reinvestments, according to the city’s website.
Funds gained through a TIRZ can be used to fund public infrastructure and safety, parks and recreation amenities, economic development incentives, historic preservation, and conservation. This would be New Braunfels' fourth TIRZ, with 146.7 acres of the 195.9-acre tract owned by the city.
The zone would encompass the entirety of the Zipp Family Sports Park and four additional lots, including two adjacent lots, which the city says could be used for retail, restaurant and hospitality spaces.
“We’re hoping to have this space be complementary to the sports park,” Matney said.
Digging deeper
The city’s economic and community development department assumes a 3% appreciation in value for properties in the zone, with a base value of just over $1 million, all of which comes from a section of the zone with retail and multifamily housing. Meanwhile, the portion owned by the city accounts for approximately 74% of the zone's acreage, according to the presentation.
The city’s economic and community development department recommended that City Council members approve an 85% contribution of any funds garnered by increased property tax values into the TIRZ, Matney said.
The timeline
If the ordinance for creating the TIRZ is approved on second and final reading, council will appoint a board of directors, made up of residents 18 years or older from New Braunfels or from the extraterritorial jurisdiction. The board will be composed of five to 15 members, according to the city.
The economic and community development department recommended that board members have two-year terms. The board would meet to create and adopt a project and final finance plan, and present the plan to City Council members for final approval. If approved, the board will continue to make financial recommendations to City Council, according to the city.
