Council approves $2.325M in TED Fund support for Rancho Del Rey logistics park

The City Council on Dec. 16 approved a TED Fund investment assistance agreement for Rancho Del Rey Logistics Park to support phase‑two infrastructure and regional warehousing. Staff recommended a $2.325 million grant paid over five years to support the developer’s move to the next phase.

Karina Brescala of Economic & International Development described the project as "a $775,000,000 investment and an additional 5,000,000 square feet of industrial space," and said staff’s economic impact analysis estimated about $45 million in direct tax benefit to the city and a broader regional benefit. The requested TED Fund assistance would primarily fund regional warehousing‑related infrastructure and access improvements.

Staff said the agreement ties payments to development milestones, requires annual reporting on tenant commitments and job creation, and requires coordination with partner entities including El Paso Water, El Paso County Water, and TxDOT. Councilors asked about timing and whether the project was already under way; staff said Phase 1 is complete and occupied and the grant would help unlock phase‑2 infrastructure.

Public commenters questioned the TED Fund’s origin and equity, noting the fund derives from sale proceeds and urging caution in how city funds are used. Staff reiterated that the TED Fund is a dedicated program established after the El Paso Electric sale and that approvals are subject to policy tests including minimum job and investment thresholds.

Council approved the agreement unanimously, with staff noting the city reserved termination rights and milestone‑based payments to protect the public interest.