TIRZ #2 budget adds a $150,000 line to start repaying the City for utility extensions

On July 21, 2022 the Director of Capital Projects described "a completed sewer line extension that crosses Interstate 40 and provides sewer services to about three fourths of the properties in the North section of the boundary" and water line plans about 90% complete, estimated at "about $1.7 million for construction." He later clarified: "On the wastewater project, we spent $98,000. The original allocation was $840,000, and there is still around $650,000 of the allocation left for this line item to be used by the city to help fund the up-front costs for constructing utilities in this zone." The chair said "even at half the current yearly revenues we can pay that back in 14 years." Staff said legal would draft an agreement with the City for payment terms. ^[1]

Presenting the draft FY2022-23 budget on July 21, 2022, the Director of Finance said the zone began the year with $332,311 in fund balance, estimated revenues of $259,134 and expenditures of $4,360 for the year, and projected $386,171 in revenue for the next year from appraisal district estimates. On August 18, 2022 an Assistant City Manager said the $100,000 Community Projects line and the $150,000 Debt Service line were "the only items added per the direction of the board," the latter "for the board to be able to start paying the City of Amarillo back for installed utility extensions." The budget passed unanimously. ^[1][2]