Daytona Beach Downtown Redevelopment Board members reviewed the board’s Downtown Redevelopment Grant expenditure report and discussed limited remaining funds and a planned tax‑increment reimbursement tied to a private development.

Angela Austin, redevelopment project manager, told the board the program began with a budget of $412,954, that the board has spent $358,572.62 to date and that, with encumbrances, $51,835 remained available to spend. She said the packet included a $50,000 grant request for consideration at the meeting.

The board noted that approving the $50,000 request would leave about $1,800 in the fund until the next fiscal year begins Oct. 1. Austin said additional requests received as of June 24 would need to wait for the new fiscal year.

Board members raised how redevelopment incentives interact with tax revenues generated by new projects. The board discussed a reimbursement arrangement tied to the Delta West development that would return the bulk of the project’s incremental tax revenue to the developer; staff said the arrangement is set to sunset in 2036. Staff explained reimbursements occur after a project’s certificate of occupancy is issued and the new tax bill is generated, at which point the city reimburses the developer from the new tax receipts tied to that development.

Board members and staff emphasized the purpose of the grant fund is to support small businesses and downtown projects, and that commitments to larger incentive agreements (like Delta West) reduce the pool of discretionary grant dollars available in the short term. Staff said reimbursements to incentivized projects are paid from the new tax revenue generated by those projects rather than from the existing annual grant pool.

Board members asked staff to provide updates on timelines and next steps for incentives and on the availability of funds for other grants when larger reimbursements are pending. No final action on the expenditure report was taken beyond the discussion at the meeting.