The McLennan County Commissioners Court on Sept. 30 approved a 10-year lease with McLennan County Fair Incorporated for the Heart of Texas Fairgrounds Complex and authorized a $250,000 annual capital-improvement contribution to the fair.

The lease, as presented to the court, will begin Oct. 1, 2025, and run through Sept. 30, 2035, with renewals available by mutual agreement for up to five years in two‑year terms. The court voted by voice to approve the contract with the added $250,000 capital contribution.

County leaders and fair representatives told the court the agreement formalizes existing operations and financial responsibilities. “We are certainly happy with them,” a representative of McLennan County Fair Incorporated said, thanking the court for prior support. County staff said the lease clarifies that venue-related revenues are restricted to venue use and that the county will assume maintenance for major mechanical systems on the grounds. In staff comments, Dustin said the county is "taking over the chiller maintenance" and noted Lone Star Chillers has worked on chiller upkeep.

Why it matters: The fairgrounds host large public events that generate venue revenue and economic activity for McLennan County. The approved capital cap raises the annual reinvestment amount above prior practice—the court and staff said the contribution had been $100,000 in prior agreements and, before that, $7,500—so the fair can pursue more timely projects without returning to the court for each minor capital expenditure.

Key details and discussion:
- Lease term and renewal: 10 years starting Oct. 1, 2025, ending Sept. 30, 2035, with mutual renewals up to five additional years in two-year increments. The lease will remain in effect until the court takes separate action to bifurcate the base venue financing.
- Capital contribution: The court approved an annual capital-improvement contribution of $250,000; the amount replaces an older $100,000 cap used in prior agreements and was proposed so the fair “can get what they need when they need it without having to come back here every time,” a commissioner said.
- Venue vs. base financing: Staff explained that revenue from venue activities is legally separate from ad valorem funding for the county base, requiring distinct accounting and, eventually, a separate contract for the base venue project. The court directed staff to continue discussions with the fair’s executive committee on longer-term structuring.
- Maintenance and operations: The county will take responsibility for chiller maintenance as part of ongoing facility oversight; Lone Star Chillers has worked on the equipment, staff said.

Positions and concerns: Commissioners and the fair said they want the lease drafted to support long-term venue growth and to enable the fair to expand events such as university home games and competitions that drive venue revenue. No commissioner voiced opposition during the vote; the motion passed by voice vote.

What happens next: The court approved the lease and the $250,000 capital contribution; staff will continue work with the fair’s executive committee on final contract language and will return to the court if and when the county separates the base venue financing into a distinct agreement.

For residents: The decision commits county revenue from the fair’s venue operations to continued maintenance and improvements at the Heart of Texas Fairgrounds Complex and formalizes county oversight of major mechanical maintenance.