Farr West CRA board approves revised Farr West Landing plan, trims public incentives

The Farr West Community Reinvestment Agency voted unanimously to adopt Resolution 2026-01 approving the Farr West Landing CRA plan with revisions that reduce the project’s public incentives and change the timing of developer payments.

Board members heard a summary of the revisions before the vote. The transportation funding allocated to the developer was reduced from $5.427 million to an eligible amount of $3,770,205; the previously proposed $10.1 million in property tax–increment financing from participating municipalities was removed (resulting in no property-tax incentives); a Farr West city impact-fee waiver of $877,000 remains; and a $7 million cap on sales-tax increment participation remains. The presenting staff member said the revisions reduce total proposed public investment from $23.4 million to $11,647,205.

The changes also revise the sales-tax increment participation schedule in the participation agreement. Under the newly proposed schedule the full 15-year term (years 1–15) would allocate 15% of the sales tax to the city and 85% to the agreement participant; the cap remains $7 million or the end of the 15-year period, whichever comes first. Staff reported the revised sales-tax distribution is expected to generate roughly $350,000 in city sales-tax receipts in years 1–5 (previously projected at zero) and about $794,000 additional city revenue over the first 10 years compared with the earlier schedule.

Board members asked several clarifying questions about sequencing and language differences between the CRA project-area plan and the participation agreement — for example, whether tax-increment payments should begin at substantial completion or only after the target tenant is operating. Staff noted the participation agreement contains more specific completion deadlines and that the area plan is silent on some operational timing; they also confirmed that state law requires separate CRA approval and a city-council ordinance to finalize the local approvals.

A motion to approve Resolution 2026-01 was moved by David J. and seconded by Jason; after a roll-call-style confirmation the motion passed unanimously. Immediately afterward the board considered and approved an amendment to the Farr West Landing Participation and Development Agreement (moved by Tim, seconded by Bob), which implements the revised sales-tax distribution schedule and related clarifications. That amendment passed unanimously by voice vote.

Staff next steps: staff said the city will publish the adopted plan in the coming days, starting a 30-day contest period during which a party may legally challenge the plan; if unchallenged, staff will record the plan. The CRA’s actions now move to the city council stage where an ordinance implementing the plan and any budget amendments would be considered.