Title
Consideration of and action on an ordinance approving the Industrial District Agreements.
Body
Summary:
For many years the City of Deer Park has entered into industrial district agreements (IDA) with industries owning property in our extraterritorial jurisdiction, known as the “Deer Park Industrial District.” Rather than pay ad valorem taxes to the City, industries in the District make a payment in-lieu-of taxes. The present industrial district agreement expires December 31, 2026.
Over the past several months, staff has met with our industry partners to negotiate a new agreement. We are pleased to report agreement on a new IDA has been reached between the City of Deer Park and industries located in the Deer Park Industrial District. This new agreement becomes effective January 1, 2027 and is valid for 15 years. With this action, Council is approving an ordinance accepting the signed IDA of industries/companies listed herein.
Over the course of several meetings, the City Council will need to adopt multiple versions of this ordinance to ensure we approve signed agreements received from all companies in the Deer Park Industrial District.
Fiscal/Budgetary Impact:
The General Fund of the City is supported by many revenues’ sources, the largest of which is IDA payments. This agreement continues that same model for the next 15 years.
Recommended action
Approval of the ordinance listing the agreements received at this time is recommended.