Council approves annexation of 477.36-acre tract near I‑27 and Sundown Lane

The Amarillo City Council on a 4-1 vote approved Ordinance No. 8,200 to annex a 477.36-acre tract of unplatted land in Randall County near Interstate 27 and Sundown Lane into the city limits.

Brady Kendrick, planning staff, summarized the proposal and the required public‑hearing steps under state law. The tract lies in Sections 32, 33, 36 and 37 of the BS&F Survey and includes adjacent right-of-way for portions of I‑27, Sundown Lane and a small portion of Colter Street. Kendrick said existing water and sewer mains border the property and the developer will extend utilities and provide required right-of-way for Colter Street and Sundown Lane within 120 days of annexation so future arterial upgrades can proceed as development occurs.

Kendrick noted the property is within the city’s South Gateway “tiers” boundary (a tax increment reinvestment zone). He said baseline values established when the tiers were set will be treated per the tiers terms: increases in assessed value remain in the tax increment fund to finance infrastructure within the tiers for its duration; full property-tax collection by the city would resume only after the tiers period ends unless the tiers boundary or duration changes. The Randall County Assistance District allocation means sales taxes generated by the area will be partially claimed by Randall County, so the city will not receive the full typical 2% sales‑tax split for that area.

Speakers during the public hearing opposed the annexation. Mike Ford and Mike Fisher raised objections centered on the tiers designation and the timing of the annexation, arguing that baseline values and the tiers structure mean much of future tax growth will stay in the reinvestment zone rather than flow to the city general fund; Fisher raised concerns about agricultural exemptions and potential infrastructure and service costs. Planning and zoning had forwarded the proposal to council with a recommendation for consideration; staff reported no public comments were received prior to the meeting.

Council voted to adopt Ordinance No. 8,200 (4 ayes, 1 nay). If the ordinance proceeds on second reading and is approved on June 24 (as staff described), the annexation would take effect and the negotiated service plan would govern when city services begin. Planning staff said the fire department’s coverage largely meets ISO and run-time expectations for most of the tract but noted approximately 25 acres in the tract’s far southeast corner would not be covered without future consideration of an additional station if development continues south and east.

Council discussion included questions about tiers criteria and whether the reinvestment zone met statutory conditions; staff and legal indicated the council had made the tiers finding in 2022, and the annexation proceeds within that existing framework.