Garland TIF board votes to pursue extension, propose 50/50 split of future increment for public safety and development

The Tax Increment Finance South Board unanimously authorized staff Aug. 20 to develop a project and financial plan seeking an extension of TIF 2’s termination date and a program to split future tax‑increment revenue between the city’s general fund and economic development uses.

The move sets the board on a path to present the plan to City Council before TIF 2’s current expiration on Dec. 31, 2025. Matt Watts, chief financial officer for the city of Garland and staff liaison for the TIF boards, framed the proposal around recent valuation growth and a consultant study underway.

“What a TIF is is a mechanism for financing that allows you to collect taxes and hold those inside of a what’s called a TIF fund to be utilized for a specific geographic area,” Watts said, describing the district’s origin in February 2004 and the district’s role in financing public infrastructure tied to Bass Pro Shop and surrounding property.

Watts told the board the district’s taxable value has grown substantially since creation. He cited a base value at creation of about $75 million, captured increment of roughly $340 million over time, and said the current taxable value within the TIF is about $415 million. For the proposed 2025–26 budget, staff is using a conservative revenue estimate of about $2,300,000 for the TIF.

The staff proposal the board endorsed for development into a formal project plan would allocate 50% of annual TIF revenue to the general fund for public safety operations along…