AGENDA CAPTION:
Title
Discuss and consider appointments to Positions One, Two and Three and confirm appointments of Positions Four and Five, and appoint a Chair to the Tax Increment Reinvestment Zone (TIRZ) Number 3 - San Marcos Convention Center Board of Directors, and provide direction to Staff.
Body
Meeting date: June 3, 2025
Department: City Clerk's Office
Amount & Source of Funding
Funds Required: N/A
Account Number: N/A
Funds Available: N/A
Account Name: N/A
Fiscal Note:
Prior Council Action: City Council created the TIRZ with the adoption of Ordinance 2006-08 on March 21, 2006.
City Council Strategic Initiative: [Please select from the dropdown menu below]
Economic Vitality
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Comprehensive Plan Element (s): [Please select the Plan element(s) and Goal # from dropdown menu below]
? Economic Development - Fiscally Responsible Incentives for Economic Development
? Environment & Resource Protection - Choose an item.
? Land Use - Choose an item.
? Neighborhoods & Housing - Choose an item.
? Parks, Public Spaces & Facilities - Choose an item.
? Transportation - Choose an item.
? Core Services
? Not Applicable
Master Plan: [Please select the corresponding Master Plan from the dropdown menu below (if applicable)]
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Background Information:
TIRZ Number 3 was established to finance the construction costs of a conference center within the Zone. The debt incurred for this construction has been repaid using three primary sources: 1) TIRZ #3, 2) a voter-approved 2% venue tax on hotel stays, and 2) an annual contribution from the developer to cover a portion of the costs.
As a result of these funding sources, a fund balance has accumulated, enabling the City to defease all but two years of the outstanding conference center debt. A bond defeasance involves setting aside sufficient funds in escrow to cover future principal and interest payments, legally removing the debt obligation from the City. The 2% venue...
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