Tyler and Smith County approve public-square lease and award $26.1 million downtown infrastructure contract

Tyler and Smith County officials on Tuesday approved a 10-year lease and use agreement for the Downtown Tyler Public Square and voted to award a $26,101,000 contract for the first phase of downtown infrastructure work, moving the long-planned downtown revitalization project into procurement and construction.

The measures, approved during a special joint meeting of the Tyler City Council and the Smith County Commissioners Court on July 8, 2025, authorize the city to manage programming and maintenance of the square and allow use of the site for construction laydown during work on the adjacent courthouse and streets.

The agreements matter because they clear legal and funding steps that supporters say will enable streets, sidewalks, utilities and pedestrian improvements intended to support future private development downtown. At the same time, a public commenter told the court the measures were rushed without adequate public disclosure and asked officials to delay action until taxpayers had more information.

During the meeting Deputy City Manager Stephanie Franklin reviewed the project history and funding sources, saying the city will contribute a majority of the infrastructure funding from the half-cent sales tax while water and sewer upgrades will be paid through TWU (water/sewer) funding and a small amount from…