DEPARTMENT: Economic Development
DEPARTMENT HEAD: Rene Dominguez
COUNCIL DISTRICTS IMPACTED: CITY-WIDE
SUBJECT:
An Amendment to the Industrial District Non-Annexation Agreement and Basic Fire Services Agreement between the City and the Texas Research and Technology Foundation (TRTF).
SUMMARY:
This item includes an Ordinance authorizing amendments to the City's Industrial District Non-Annexation Agreement and Basic Fire Services Agreement with TRTF, to remove property from the TRTF Industrial District.
BACKGROUND INFORMATION:
To attract businesses and jobs in a city's extraterritorial jurisdiction (ETJ), the Texas Local Government Code authorizes cities to designate portions of its ETJ as Industrial Districts and enter into non-annexation agreements. Such agreements can be for up to 15 years and renewed for successive periods not to exceed 15 years each. Cities are also permitted to provide fire-protection services in Industrial Districts through fire services agreements and charge fees for providing fire services.
Since 1986, City Council has approved the designation of six Industrial Districts and authorized the City to enter into related non-annexation and basic fire services agreements. Besides the TRTF Industrial District, there are currently four other active Industrial Districts in the City's ETJ.
TRTF manages the Texas Research Park (TRP), which is comprised of all the land in the TRTF Industrial District. The TRP is a bio-science research development located at 14815 Omicron Drive, approximately 20 miles west of Downtown San Antonio. The TRTF Industrial District was established on March 27, 1986 to support development of the TRP. Non-annexation and basic fire services agreements with TRTF have been approved by City Council four times, with the current Industrial District Non-Annexation Agreement and Basic Fire Services Agreement with TRTF having been renewed on December 9, 2010 for the period from January 1, 2011 through December 31, 2015.
The City's current Industrial District Non-Annexation Agreement and Basic Fire Service Agreement with TRTF assist TRTF in attracting businesses and jobs to the TRP, which today includes over 300,000 sq. ft. of commercial facilities and approximately 400 employees. The current annual fee collected by the City under the Basic Fire Services Agreement with TRTF is $35,000.
ISSUE:
TRTF requested a change to the existing boundaries of the TRTF Industrial District to remove approximately 429.6 acres from TRP's current 930.95 acre tract located in Bexar and Medina Counties. Removal of the property from TRTF Industrial District will permit TRTF to sell the property for residential developments to fund on-going operations of TRTF. The City's Planning Commission considered TRTF's request and recommended approval of the amendments at its December 3, 2014 meeting.
In order to remove the property from the TRTF Industrial District, City Council must approve an Ordinance authorizing amendments to the City's Industrial District Non-Annexation Agreement and Basic Fire Services Agreement with TRTF.
ALTERNATIVES:
City Council could choose to not authorize the amendments to the City's Industrial District Non-Annexation Agreement and the Basic Fire Services Agreement with TRTF, which may prevent TRTF from selling a portion of the property currently a part of the TRTF Industrial District to fund on-going operations of TRTF.
FISCAL IMPACT:
The City will continue to receive a $35,000 annual fee under the Basic Fire Services Agreement. There is no other fiscal impact to the City in approving the Ordinance.
RECOMMENDATION:
Staff recommends approval of an Ordinance authorizing amendments to the City's Industrial District Non-Annexation Agreement and Basic Fire Services Agreement with TRTF.