2018 – Kerrville Council debates Tax Increment Reinvestment Zone, passes budget

By April 16, 2020Uncategorized

In 2018, David Pettit Economic Development was hired by the City of Kerrville to create the City’s first ever Tax Increment Reinvestment Zone.

Source: Hill Country Community Journal

“Consultant David Pettit returned to council Sept. 11 for the first reading of an ordinance to designate “a contiguous geographic area” in the city, downtown, to be known as “Reinvestment Zone Number One, City of Kerrville.”

Councilman Vincent Voelkel declared he had a conflict of interest and was excused from the discussion. The reception Pettit got after that was varied.

Pettit told council tax increment financing is used in more than 310 TIRZs in Texas; that they attract new development, facilitate investment, and bring excitement and energy to the designated areas.

“This is not money you are currently receiving. Imagine an area, and there’s new growth there. That money pays for improvements in the zone,” Pettit said. “It has to be new investment.”

A “creation ordinance” is first, followed by a TIF board, TIF projects, and a finance plan. He said he conservatively sees about $17 million gross in project costs in the 475-plus acre downtown Kerrville area. When approved, the city council is the TIF board until a separate board can be appointed.”

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