Council approves consultant agreement to begin TIRZ creation for Saddle Creek housing project

The Alice City Council voted to approve an agreement with consultants Hawes Hill & Associates LLP to prepare a tax increment reinvestment zone (TIRZ) creation or amendment for the Saddle Creek property, a step staff described as necessary for a private developer to begin infrastructure and housing construction.

Staff said the TIRZ documentation prepared previously for the property was not done correctly and must be redrafted. The proposed consultant engagement is a pass-through expense: the consultant will be paid $25,000 and the developer, identified in the meeting as Mr. Marquez, will reimburse the city for that cost. "They're gonna charge us $25,000, which is a pass-through cost ... then we turn around, and we charge Mr. Marquez to reimburse us for that $25,000," staff said.

Developer Marquez addressed council and described the project as a 42-unit development at the Duval and Goliad area near the levee, with single-family homes and planned use of a construction method he identified as SCIP (structured concrete insulated panel). He said starting prices would be about $165,000 and estimated a roughly 18-month completion timeline for initial phases. Marquez said engineering is complete and that bids for infrastructure would be issued quickly; he added infrastructure timing will drive the overall schedule.

Councilmembers asked for clarifications about location, unit count and financing steps. Staff said the TIRZ amendment/creation will return to council as an ordinance showing boundaries and other creation details, followed by the formation of a TIRZ board, a development agreement, and financing plans. The council approved the consultant agreement and authorized the city manager to negotiate and sign necessary documents.

No final development agreement or financing plan was adopted at the meeting; council action was limited to approving the consultant agreement to draft the TIRZ documents.