Council authorizes impact-fee reimbursement agreement for Shady Grove frontage road

Midlothian City Council unanimously approved an agreement authorizing the city manager to negotiate and execute an impact-fee reimbursement arrangement with Oakhole Investments LLC for frontage road work tied to the Shady Grove Business Plaza.

City staff member Mike said the developer will construct one of two lanes of an approximately 800-foot frontage road along U.S. 287 between Planview Road and Midlothian Parkway to prevent direct access to 287. TxDOT has approved the concept in principle, and staff said reimbursements will be limited to whichever is less: the actual construction cost or the impact fees the city collects from the development. Mike told council current estimates from TxDOT are under about $1 million, though exact costs will be verified in the Level of Service analysis (LOSA) and final cost estimates returned to council if needed.

Council members asked whether a single lane would later be expanded, how the lane would be configured, and whether two lanes would exceed the city’s estimated $1 million threshold; staff said the northern lane would be built now with the southern lane left for a future phase. No members of the public signed up to speak. Mayor Pro Tem Whitcliffe moved to approve; Councilman Weaver seconded. The motion carried 7–0.

The developer will build the road; reimbursements will be paid only up to the amount collected in impact fees or the project's actual cost, whichever is less, and the city will present LOSA estimates and final costs to council when available.