Storyline · 24 events · Dec 19, 2006 – Jun 4, 2026
Downtown TIRZ #1 and Local Government Corporation financing (2006-2026)
The City Council created Tax Increment Reinvestment Zone #1 (downtown) by Ordinance No. 7012 on December 19, 2006, with a December 31, 2036 end date, and approved its project and financing plan in November 2007. In January 2016 the TIRZ #1 board raised its downtown-project commitment from $2.7 million to $4.387 million, with $1.687 million lent to the Amarillo Local Government Corporation (LGC) for the retail portion of the downtown parking garage; the City lent TIRZ #1 money to fund that commitment. The LGC made no payments on the TIRZ loan, and interest raised the balance to $2,037,092.50 by early 2023. In December 2022 the council extended the zone to 2056 (Ordinance No. 8032), with City participation falling to 50% after 2036. In February 2023 the TIRZ and LGC boards amended the loan: interest stopped accruing, $500,000 is due by 2036 and the rest can be forgiven if performance conditions are met. The FY2025 annual report lists the City's loan to TIRZ #1 at $972,218 and gives no balance for the LGC loan.
A storyline groups dated events in order. It is a chronology, not an argument; it does not say why anything happened. All storylines
- Downtown & development
- Debt & financing
- Leadership & governance
- Budget & taxes
- Votes & elections
- Audits & oversight
- City buildings
- Contracts & procurement
Where the story starts depends on the framing
- From creation of the downtown tax increment zone (2006): starts with Council creates Tax Increment Reinvestment Zone Number One downtown (Ordinance No. 7012) (Dec 19, 2006)
- From the TIRZ #1 board's decision to lend to the LGC for the garage retail space (2016): starts with TIRZ #1 board raises downtown-project participation to $4.387 million, $1.687 million as a loan to the LGC (Jan 14, 2016)
· Origin
Council creates Tax Increment Reinvestment Zone Number One downtown (Ordinance No. 7012)
Ordinance No. 7012, passed on first reading December 12, 2006 and on second and final reading December 19, 2006, designated Tax Increment Reinvestment Zone Number One under Chapter 311 of the Tax Code. It set the zone to end on the earlier of December 31, 2036, an earlier date set by ordinance, or full payment of project costs and tax increment bonds; set the tax increment base at $133,250,377 as of January 1, 2006; created a nine-member board; and dedicated 100% of the City's tax increment to the zone's fund. The board may not issue bonds, levy taxes or use eminent domain.[1]
- ✓ Verified
Ordinance No. 7012 designating Tax Increment Reinvestment Zone Number One was introduced and passed on first reading December 12, 2006 and passed on second and final reading December 19, 2006, after a December 12, 2006 public hearing; it created a nine-member board and dedicated 100% of the City's tax increment to the zone's tax increment fund.[1][2]
- Board members
- 9
- City increment
- 100%
- ⚠ Sources differ
Sources give different figures for the zone's 2006 tax increment base.
Reported value 1[1]
- Base value
- $133,250,377
- As of
- 2006-01-01
Tax increment base stated in Section 5 of Ordinance No. 7012 (scanned copy in the project and financing plan).
- Base value
- $139,519,786
Tax increment base reported by the City in its Comptroller zone registration (submitted December 20, 2023) and annual reports for 2023-2025.
Reported value 3[5]
- Appraised value 2006
- $139,500,000
City TIRZ web page's '2006 appraised taxable value' (not labeled as the base).
- ⚠ Sources differ
Sources give different original end dates and start dates for the zone.
Reported value 1[1]
- Created
- 2006-12-19
- Ends
- 2036-12-31
Ordinance No. 7012 Section 4 (zone ends on the earlier of December 31, 2036, an earlier ordinance date, or payoff of project costs and bonds); the plan's terms page calls it a 30-year term ending December 31, 2036.
Reported value 2[3]
- Effective
- 2006-01-01
- Expires
- 2035-12-31
City's Comptroller zone registration, submitted December 20, 2023 (after the 2022 extension), listing increment years 2006-2035.
Reported value 3[2]
- Ends
- 2036-12-19
Termination date stated in the TIRZ #1 developer agreement with SPS Amarillo TX Landlord, LLC.
Reported value 4[6]
- Created fiscal year
- 2,007
City annual financial reports say TIRZ #1 was created in fiscal 2007 (the year beginning October 1, 2006).
· Precursor
Council approves the TIRZ #1 Project and Financing Plan (Ordinance No. 7076)
The plan, dated July 2007, set four goals (convention hotel, urban residential, office/commercial/retail and ballpark/family entertainment venues). The City, Potter County, Amarillo College and the Panhandle Groundwater Conservation District were to contribute 100% of their new incremental property tax; the school district was not to participate and the City was not to contribute sales tax. The plan projected about $102.4 million in gross increment over 30 years ($34.95 million net present value at 6%).[1][2]
- ✓ Verified
The project and financing plan provides for 100% of new incremental property tax from the City, Potter County, the Panhandle Groundwater Conservation District and Amarillo College; it states that the school district will not participate, the City will not contribute sales tax, and all taxing units keep business personal property tax revenue.[1]
- ✓ Verified
The 2007 plan projected (an estimate, not a result) $102,416,785 in gross TIRZ revenue over 30 years, $34,952,746 in net present value at a 6% discount rate, and estimated the public initiatives to be financed by TIRZ revenue at $34 million net present value or $102 million gross.[1]
- Projected gross
- $102,416,785
- Projected npv
- $34,952,746
- Discount rate
- 6%
- ✓ Verified
TIRZ #1 developer agreements recite that on November 13, 2007, under Ordinance No. 7076, the City approved the zone's Project and Financing Plan and amendments to Ordinance No. 7012, and that the City delegated to the zone powers to make agreements serving four goals: a convention hotel, urban residential development, office/commercial/retail development, and ballpark/family entertainment venues.[2][7]
· Precursor
Amarillo Local Government Corporation organized
The LGC was organized in March 2011 as a public nonprofit corporation under Subchapter D of Chapter 431 of the Texas Transportation Code to act on the City's behalf in downtown development. Its seven directors are appointed by the City Council, which approves its budget and projects; the City is its fiscal agent and keeps its accounting records.[6]
Amarillo Local Government Corporation (LGC)
- ✓ Verified
The LGC was organized in March 2011 under Subchapter D of Chapter 431 of the Texas Transportation Code and Chapter 22 of the Business Organizations Code; it is governed by a seven-member board appointed by the City Council, which approves its operating budget and projects, and the City serves as its fiscal agent. The City's annual report presents it as a discretely presented component unit.[6]
- Board members
- 7
· Context
Council approves TIRZ #1 participation in the SPS (Xcel Energy) office project
A TIRZ #1 developer agreement with SPS Amarillo TX Landlord, LLC, approved for TIRZ participation by the council on March 17, 2015, provides annual reimbursement of 90% of the property tax increment from the project until the zone expires, in exchange for at least $41.8 million in private investment in a 114,000-square-foot building and a 590-stall parking structure leased to Southwestern Public Service.[2]
- ✓ Verified
The TIRZ #1 agreement with SPS Amarillo TX Landlord, LLC requires at least $41.8 million in private investment, construction start by January 1, 2016 and a certificate of occupancy by December 31, 2017, and provides annual reimbursement of 90% of the property's ad valorem tax increment until the zone expires; the city summary lists the agreement as running 2018-2036.[2]
- Min investment
- $41,800,000
- Reimbursement
- 90%
· Starting point
TIRZ #1 board raises downtown-project participation to $4.387 million, $1.687 million as a loan to the LGC
The TIRZ #1 board, which had approved about $2.7 million for streetscape work around the convention hotel, parking structure and multipurpose event venue, voted to increase its participation to $4.387 million. The added $1.687 million took the form of a loan to the LGC; the board agreed to fund the retail portion of the parking garage and part of the streetscape and amended the project and financing plan.[6][8]
Amarillo Local Government Corporation (LGC)
- ✓ Verified
On January 14, 2016 the TIRZ #1 board voted to increase its participation in the downtown projects from $2.7 million to $4.387 million; the $1.687 million increase was a loan to the LGC, while the original $2.7 million stayed a grant. The board also agreed to fund the retail portion of the parking garage and part of the streetscape and amended the project and financing plan.[6][8]
- Prior commitment
- $2,700,000
- New commitment
- $4,387,000
- Loan to lgc
- $1,687,000
- ✓ Verified
Assistant City Manager Laura Storrs: In September 2020 the City's assistant city manager told the LGC board that the TIRZ #1 note to the LGC carried 3.745% interest (the 10-year Treasury yield at funding plus 2%) and the City's note to the LGC carried 4.21%, set the same way.[9][10]
- Tirz note rate
- 3.745%
- City note rate
- 4.21%
· Related development
Council amends the City's loan agreement with TIRZ #1, authorizing $1.85 million
The City Council amended the loan agreement between the City and TIRZ #1 to authorize a loan of $1.85 million. City financial reports say the City lent TIRZ #1 $1.5 million during fiscal 2017 to help it fund $3.45 million for the garage retail space and about $930,000 of streetscape improvements.[6]
- ⚠ Sources differ
Sources describe the City's loan to TIRZ #1 differently.
Reported value 1[6]
- Authorized
- $1,850,000
- Date
- 2016-02-02
Council amended the City-TIRZ #1 loan agreement to authorize $1.85 million (annual report).
- Loaned
- $1,500,000
- Fiscal year
- 2,017
City lent TIRZ #1 $1,500,000 during fiscal 2017 to help fund $3.45 million for the garage retail space and about $930,000 of streetscape work (annual report).
Reported value 3[12]
- Loaned
- $1,850,000
February 2023 TIRZ #1 minutes: 'Out of the $1,850,000 loaned to the TIRZ from the city, $1,687,000 was loaned to LGC.'
- ✓ Verified
City annual reports give the outstanding balance of the City's loan to TIRZ #1 as $1,247,503 at September 30, 2021, $1,182,245 at September 30, 2022, $1,114,667 at September 30, 2023, and $972,218 at September 30, 2025.[11][13][8][6]
- Balance 2021
- $1,247,503
- Balance 2022
- $1,182,245
- Balance 2023
- $1,114,667
- Balance 2025
- $972,218
· Related development
LGC approves the $15.65 million downtown parking garage project
The LGC approved construction of the parking garage at $15.65 million, funded by bond proceeds, Civic Center Improvement Fund reserves, the General Construction Fund, TIRZ #1 and additional funding from Center City.[6]
Amarillo Local Government Corporation (LGC)
- ✓ Verified
On February 17, 2016 the LGC approved the parking garage construction project at $15.65 million, with funding from bond proceeds, Civic Center Improvement Fund reserves, the General Construction Fund, TIRZ #1 and additional funding from Center City.[6]
- Project budget
- $15,650,000
· Related development
City issues $11,995,000 in hotel occupancy tax revenue bonds for the garage
The City issued Hotel Occupancy Tax Revenue Bonds, Taxable Series 2016, of $11,995,000 to construct and equip the downtown parking garage, with debt service paid from hotel occupancy tax and final maturity on August 15, 2043.[6]
- ✓ Verified
On April 13, 2016 the City issued $11,995,000 in Hotel Occupancy Tax Revenue Bonds, Taxable Series 2016, to construct and equip the downtown parking garage; debt service is paid from hotel occupancy tax, and the bonds mature by August 15, 2043. At September 30, 2025, $9,630,000 was outstanding after $2,365,000 had been retired.[6]
- Issued
- $11,995,000
- Outstanding 2025
- $9,630,000
- Retired
- $2,365,000
- ⚠ Sources differ
The FY2025 annual report gives different interest-rate ranges for the Series 2016 hotel occupancy tax bonds in different sections.
- ✓ Verified
The City's annual report says it anticipates using hotel occupancy tax to pay the Series 2016 (garage) and Series 2018 (ballpark) bonds; 3.5% of the 7% hotel tax goes to debt and Civic Center operating losses, 3% normally to the Convention and Visitors Bureau, and 0.5% to event subsidies.[6]
· Related development
Council approves a City loan of up to $1 million to the LGC for the garage retail space
The City Council voted 4:1 to approve a loan agreement under which the City would lend the Amarillo Local Government Corporation up to $1,000,000 to finish out and begin operating the retail portion of the downtown parking garage, with interest at the 10-year Treasury yield plus 2% and principal due by June 1, 2032, payable from retail rents. The 2016/17 budget included the money. Councilmember Randy Burkett voted no.[10][14]
Mark NairElisha DemersonBob Cowell Jr.
- ✓ Verified
The April 18, 2017 agenda item described a loan of up to $1,000,000 from the City to the Amarillo Local Government Corporation 'for the purpose of finishing out and initial operation of the retail portion of the downtown parking garage,' said the 2016/17 approved budget included up to $1,000,000 for this purpose, and said the LGC would consider the agreement on April 19, 2017.[10]
- Max principal
- $1,000,000
- ✓ Verified
The draft loan agreement set interest at the 10-year U.S. Treasury yield plus 2% on the execution date, fixed for the life of the loan; made principal due on or before June 1, 2032; provided that interest be paid from retail rents 'if available' and that unpaid interest be added to principal; and pledged retail rental revenues as security, subordinate to existing LGC bond obligations.[10]
- ✓ Verified
The agreement's recitals state that the LGC had incurred an obligation to fund approximately $20 million for the garage with retail/mixed-use space and that its accrued funds and anticipated revenues 'may not be sufficient,' creating a need for the City loan, to be repaid by future rental of the retail space.[10]
- ✓ Verified
On a motion by Councilmember Mark Nair, seconded by Councilmember Lisa Blake, the council approved the agreement 4:1, with Mayor Paul Harpole and Councilmembers Blake, Elisha Demerson and Nair voting yes and Councilmember Randy Burkett voting no. The minutes record Nair saying the council needed to continue funding what was previously agreed, Bob Cowell saying none of the finish-out money would be used until there was a signed lease, and Burkett saying the City was obligated to build the garage under the agreement.[14]
- ✓ Verified
During public comment, one speaker said finish-out of the garage retail space should be done by tenants, and another asked whether the loan to the LGC included interest.[14]
· Context
LGC completes the 750-space garage at a cost of $16,947,568
The LGC completed the 750-space parking garage next to the convention hotel. The LGC owns the garage on land leased from the City for 80 years and keeps parking revenue; ownership passes to the City when the ground lease ends. The hotel developer has 150 reserved spaces under a $120,000-a-year parking rent.[6][15]
Amarillo Local Government Corporation (LGC)
- ✓ Verified
The LGC completed the 750-space parking garage on July 1, 2017 at a cost of $16,947,568; the LGC owns the garage, operates it and keeps parking fees, and ownership transfers to the City at the end of the 80-year ground lease.[6]
- Cost
- $16,947,568
- Spaces
- 750
- Ground lease years
- 80
- ✓ Verified
The garage's reported cost ($16,947,568) was $1,297,568 more than the $15.65 million project amount the LGC approved in February 2016; no fetched source explains the difference.[6]
- Approved
- $15,650,000
- Reported cost
- $16,947,568
- Difference
- $1,297,568
- ✓ Verified
The FY2024 annual report states that the hotel developer has 150 reserved spaces in the garage and agreed to pay $120,000 a year in parking rent plus an annual base rent adjusted by CPI, and that the LGC would operate the retail portion and keep its revenue.[15]
- Reserved spaces
- 150
- Parking rent
- $120,000
· Related development
LGC board reviews its unpaid loans from the City and TIRZ #1
At its August and September 2020 meetings the LGC board reviewed the notes it owed to the City and TIRZ #1. Staff said the retail space was not yet producing enough to repay them and that interest was accruing. A proposal to renegotiate the notes was tabled for further analysis.[9][16]
Laura StorrsAmarillo Local Government Corporation (LGC)
- ⚠ Sources differ
LGC minutes from 2020 give different balances for the LGC's loans.
Reported value 1[16]
- Tirz to lgc
- $1,900,000
- City to lgc
- $479,000
August 19, 2020: the assistant city manager gave the loan balance from the City as $479,000 and from TIRZ #1 as $1.9 million.
Reported value 2[9]
- Tirz to lgc
- $1,824,342
- City to lgc
- $262,211
- As of
- 2020-06-30
September 16, 2020: balances as of June 30, 2020.
Reported value 3[11]
- Tirz to lgc
- $1,963,553
- As of
- 2020-09-30
FY2021 annual report: $1,687,000 advanced plus $216,553 accrued interest (scanned text reads '$216,5i3').
- ✓ Verified
Assistant City Manager Laura Storrs: In August 2020 the assistant city manager told the LGC board that the retail space lost about $78,000 the prior year and about $80,000 that year, which was interest accruing on the City and TIRZ loans, and that repayment would be built in once all retail spaces were leased; in September 2020 the board president tabled discussion of renegotiating the notes to the next meeting.[16][9]
- ✓ Verified
In August 2020 staff told the LGC board that parking garage revenue was projected at $382,000 for the year, that $240,000 had been collected to date, and that the LGC should be able to make its debt service payment at fiscal year-end.[16]
- Projected parking revenue
- $382,000
- Collected to date
- $240,000
- ✓ Verified
Assistant City Manager Laura Storrs: In February 2022 the assistant city manager reported a TIRZ #1 loan receivable from the LGC of $1,963,552 at December 31, 2021, carried as a long-term receivable because there was no plan for the LGC to repay it in the near future.[17]
- Receivable
- $1,963,552
· Context
Council amends the TIRZ #1 project plan to list Civic Center and Santa Fe Depot improvements (Ordinance No. 7980)
After the TIRZ #1 board approved the change on May 5, 2022, the council adopted Ordinance No. 7980 on second reading on its consent agenda. The amendment added Civic Center Complex expansion and renovation, including an arena, and Santa Fe Depot improvements to the plan's project list, stating that these costs were not expected to be financed with TIRZ revenues.[18][19][1]
- ✓ Verified
The May 2022 amendment added to the plan's project list: 'Expansion and renovation, including the addition of an arena to the Amarillo Civic Center Complex, as well as improvements to the Amarillo Santa Fe Depot Property. It is not anticipated for the costs of these public improvements to be financed with TIRZ revenues.' The TIRZ #1 board approved it unanimously on May 5, 2022 and the council adopted Ordinance No. 7980 on second reading on May 24, 2022 in a 5-0 consent vote.[18][19][1]
- ✓ Verified
Assistant City Manager Andrew Freeman: Assistant City Manager Andrew Freeman told the TIRZ #1 board the change did not affect TIRZ financing or its boundary or term, and was meant to give the City Council flexibility in financing the Civic Center, following a suggestion from consultant Garfield Public Private; he said TIRZ participation might take the form of a streetscape grant.[18]
· Trigger
LGC board asks staff to approach TIRZ #1 about converting its loan to a grant
Reviewing unaudited fiscal 2022 statements, the LGC board heard that removing the TIRZ #1 loan would lower the break-even rent for the retail space to $3.95 per square foot. Board members agreed that staff should approach TIRZ #1 about turning the loan agreement into a grant.[20]
Laura StorrsAmarillo Local Government Corporation (LGC)
- ✓ Verified
Unaudited LGC statements at September 30, 2022 showed total assets of $49,450,459, liabilities of $2,415,611 and net position of $47,034,849; the operating unit had $1,210 in revenue and $1,021,621 in expenditures, a $1,020,411 net loss driven mainly by $1,017,500 in depreciation.[20]
- Total assets
- $49,450,459
- Total liabilities
- $2,415,611
- Net position
- $47,034,849
- Operating revenue
- $1,210
- Operating expenditures
- $1,021,621
- Depreciation
- $1,017,500
- ✓ Verified
LGC minutes for November 9, 2022 record that removing the TIRZ #1 loan would bring the retail space's break-even rent to $3.95 per square foot and that there was consensus for staff to approach TIRZ #1 about transitioning the loan agreement into a grant.[20]
· Related development
Council extends TIRZ #1 to 2056 with City participation falling to 50% after 2036 (Ordinance No. 8032)
After a public hearing and first reading on November 8, 2022, the council passed Ordinance No. 8032 on second reading as part of a consent agenda approved 5-0 on December 13, 2022. It changed the zone's end date from December 31, 2036 to December 31, 2056, extended the zone's boundaries, set the City's contribution at 100% of its tax increment until 2036 and 50% after that, and amended the project and financing plan. The staff memo estimated that the City would defer $14.6 million in tax revenue to the zone.[21][22]
Andrew FreemanGinger NelsonFreda Powell
- ✓ Verified
Ordinance No. 8032 amended Ordinance No. 7012 to change the zone's end date from December 31, 2036 to December 31, 2056, extended the zone's boundaries as described in its Exhibit A, set the City's contribution at 100% of its tax increment until 2036 and 50% thereafter, and amended and approved the project and finance plan.[21][7]
- New end year
- 2,056
- City increment after 2036
- 50%
- ✓ Verified
Ordinance No. 8032 had its public hearing and first reading on November 8, 2022, and passed on second reading as consent item 2B on December 13, 2022; the consent agenda (except item 2H) was approved 5-0 on a motion by Mayor Pro Tem Freda Powell, seconded by Councilmember Eddy Sauer, with Mayor Ginger Nelson and Councilmembers Cole Stanley and Howard Smith also voting yes.[22][21]
- ✓ Verified
City staff memo (contact: Assistant City Manager Andrew Freeman): The staff memo said the zone had many outstanding goals (in July 2021: 448 of 1,200 hotel rooms, 283 of 2,100 residential units, 308,563 of 1,625,000 square feet of office/commercial/retail), recommended a 20-year extension to 2056 at 50% City participation based on past council and TIRZ #1 feedback, and estimated (a projection) that the City would defer $14.6 million in tax revenue to be invested only in the zone. Other taxing units were not required to participate but could by written agreement.[21]
- Deferred city revenue estimate
- $14,600,000
- Unverified
Potter County Commissioners Court approved an addendum to its TIRZ #1 participation agreement on February 27, 2023 (5-0), and the Amarillo College Board of Regents approved an addendum for a 20-year extension at 50% participation on February 28, 2023 (unanimous). The County's participation terms were not available, and no fetched source shows whether the Panhandle Groundwater Conservation District agreed to participate after 2036. The City's Comptroller zone registration, submitted in December 2023, still lists all four participating units.[3][21][23][24][25]
- ✓ Verified
At the June 8, 2023 TIRZ #1 board meeting the outside auditor presenting the fiscal 2022 audit confirmed the council had extended the zone 20 years through 2056.[26]
· Peak
TIRZ #1 board amends the LGC loan: interest stops, $500,000 due by 2036, the rest can be forgiven
The TIRZ #1 board voted unanimously to amend its loan to the LGC, by then $2,037,092.50 with interest. Interest stopped accruing; $500,000 is due by 2036; $1,037,092.50 is forgiven in proportion to retail floor area leased (including the space already leased); and the final $500,000 is forgiven if all the retail space is leased within five years, or else added to the amount due by 2036. The LGC board approved the amendment 6-0 on February 15, 2023.[12][27][8]
Andrew FreemanLaura StorrsJared MillerAmarillo Local Government Corporation (LGC)
- ✓ Verified
On February 9, 2023 staff told the TIRZ #1 board the LGC owed $2,037,092.50 on the $1,687,000 TIRZ #1 had lent for the retail space, because of accumulated interest and no payments, and that TIRZ #1 owed $1,182,244.58 on its loan from the City.[12][13]
- Lgc owed tirz
- $2,037,093
- Original loan
- $1,687,000
- Tirz owed city
- $1,182,245
- ✓ Verified
On a motion by Gary Jennings, seconded by Joseph Peterson, the TIRZ #1 board voted unanimously that interest stop accruing; that $500,000 of the $2,037,092.50 balance be due by 2036; that $1,037,092.50 be forgiven on a percentage-of-area basis as retail space is leased, with the already leased unit's share forgiven immediately; and that the remaining $500,000 be forgiven if 100% of the retail space is leased within five years, or else added to the amount due by 2036.[12]
- Due by 2036
- $500,000
- Area based forgiveness
- $1,037,093
- Full lease forgiveness
- $500,000
- ✓ Verified
On February 15, 2023 the LGC board approved 'Amendment #1 to Loan Agreement' with TIRZ #1 by a 6-0 vote; the minutes record that the interest rate in the agreement was 3.74% and that under the amendment interest would stop accruing and amounts would be forgiven if certain criteria are met.[27]
- ✓ Verified
Assistant City Manager Laura Storrs: Staff's LGC pro forma presented to the TIRZ #1 board showed a needed lease rate of $13 per square foot with TIRZ loan repayment and about $3.55 with full forgiveness, before tenant finish-out; forgiving half the balance was described as bringing rates to about $8.[12]
- Rate with repayment
- $13
- Rate full forgiveness
- $4
- Rate half forgiveness
- $8
- ✓ Verified
February 2023 TIRZ #1 minutes record that the parking garage did not then produce enough revenue to repay both the hotel occupancy tax debt and the City/TIRZ loans, that the LGC's priority had been the hotel occupancy tax debt, and that the City's loan to the LGC for retail finish-out had not been fully spent.[12]
- ✓ Verified
TIRZ #1 board members Dean Frigo and John Coffee; Andrew Freeman: Board chair Dean Frigo said he had concerns about the collectability of the loan and carrying it as a TIRZ asset; board member John Coffee said he was concerned the loan was made without an expectation of repayment; Assistant City Manager Andrew Freeman said the intention was that it would be repaid but continued lack of repayment pointed toward an inability to repay by 2036.[12]
- ✓ Verified
The FY2023 annual report states that during 2023 the TIRZ #1 board approved a loan forgiveness plan and that at September 30, 2023 the LGC loan stood at $1,903,296: $1,687,000 advanced plus $425,408 of accrued interest, less $209,112 forgiven. The FY2022 report had listed $350,093 of accrued interest and a $2,037,093 balance.[8][13][15]
- Advanced
- $1,687,000
- Accrued interest 2023
- $425,408
- Forgiven
- $209,112
- Balance 2023
- $1,903,296
- Accrued interest 2022
- $350,093
- Balance 2022
- $2,037,093
- ✓ Verified
LGC minutes record the sale of the garage's retail space as complete on July 2, 2024. No fetched source states how the sale affected the TIRZ #1 loan balance, the forgiveness conditions, or the City's separate loan to the LGC. In August 2023, before the sale, the deputy city manager told the LGC board the sales price would cover all LGC debt on the property, including the TIRZ #1 note and the City loan; no source reports the actual payoff.[28][6][29]
· Related development
Potter County Commissioners Court approves an addendum to its TIRZ #1 participation agreement
Potter County Commissioners Court voted 5-0 to approve an addendum to the County's Center City TIRZ #1 participation agreement with the City of Amarillo, listed on the agenda as "TIRZ #1 Extension," after an explanation by Assistant City Manager Andrew Freeman. The agenda lists the addendum and Ordinance No. 8032 as attachments; the addendum's terms were not available to read.[30][23]
- ✓ Verified
On February 27, 2023, on a motion by Commissioner John Coffee seconded by Commissioner Blair Schaffer, the Potter County Commissioners Court voted 5-0 (Judge Nancy Tanner and Commissioners H.R. Kelly, Schaffer, Coffee and Warren Coble Sr.) to approve item 8.B, an addendum to the Center City TIRZ #1 participation agreement with the City of Amarillo.[23][30]
· Related development
Amarillo College regents approve a 20-year TIRZ #1 extension at 50% participation
The Amarillo College Board of Regents unanimously approved an addendum to the college's Center City TIRZ #1 participation agreement with the City of Amarillo, described in the minutes as a 20-year extension at 50% property tax rate participation.[24]
- ✓ Verified
Amarillo College Board of Regents minutes for February 28, 2023 describe the item as an addendum to the Center City TIRZ #1 participation agreement 'for a 20-year extension at 50% property tax rate participation'; Regent Peggy Thomas moved to approve, Regent David Woodburn seconded, and the motion carried unanimously.[24]
- ✓ Verified
Andrew Freeman told the regents there were 13 years left on the 30-year TIRZ #1 term, that in November the TIRZ #1 board had voted to extend it by 20 years at a reduced rate, and that the extension was needed because of the zone's size and projects still in progress or in development.[24]
- ✓ Verified
At the same meeting Regent David Woodburn, the college's TIRZ #1 board member, reported that the TIRZ board had voted to forgive or stop interest on a large note made to a local government corporation that helped finance the garage's rentable space.[24]
· Related development
LGC board recommends selling the garage retail space to Llano Group
The LGC board voted unanimously to recommend that the City Council approve a contract to sell the commercial portion of the downtown parking garage to Llano Group, LLC. Deputy City Manager Andrew Freeman told the board the sales price would cover all of the debt the LGC owed on the property, including the TIRZ #1 note payable and a loan from the City.[29]
- ✓ Verified
Andrew Freeman, Deputy City Manager: LGC minutes for August 16, 2023 record Andrew Freeman saying that selling the retail space would put it back on the tax rolls and that 'the sales price will cover all of the debt that LGC owes on the property, including the TIRZ #1 note payable and a loan with the City of Amarillo that would return to the City's general fund for their projects,' and that there was a gap between the sales price and what the space cost to build.[29]
- ✓ Verified
Board member Megan Zanchettin moved to recommend the sale to the City Council, board member Howard Smith seconded, and the motion passed unanimously; the board took no action that day on a related proposed 75-year lease of 90 garage parking spaces to Llano Group.[29]
· Context
TIRZ #1 and LGC boards accept their FY2023 annual financial reports
On April 11, 2024 the TIRZ #1 board accepted its annual financial report for the year ended September 30, 2023 "pending the correction to the receivable section"; the minutes do not describe the correction. On April 17, 2024 the LGC board accepted its FY2023 report, which staff summarized as total liabilities of $2.3 million at September 30, 2023, down from $2.5 million a year earlier.[31][32]
- ⚠ Sources differ
LGC board minutes give different summaries of the LGC's total liabilities around September 30, 2023; the minutes do not break liabilities down by loan.
Reported value 1[33]
- Total liabilities
- $2,515,404
- As of
- 2022-12-31
Quarterly financials presented March 29, 2023 (quarter ended December 31, 2022).
Reported value 2[34]
- Total liabilities
- $2,400,000
- Total assets
- $47,800,000
- Net position
- $47,800,000
- As of
- 2023-09-30
- Basis
- unaudited
Unaudited financials presented October 18, 2023, as recorded in the minutes.
Reported value 3[35]
- Total liabilities
- $2,300,000
- Total assets
- $47,700,000
- Net position
- $45,400,000
- As of
- 2023-09-30
- Basis
- unaudited
Unaudited financial statements presented January 17, 2024.
Reported value 4[32]
- Total liabilities
- $2,300,000
- Total assets
- $52,400,000
- Net position
- $45,100,000
- As of
- 2023-09-30
- Basis
- audited
Annual report accepted April 17, 2024 (unmodified opinion); prior-year liabilities $2.5 million.
- ✓ Verified
On April 11, 2024 the TIRZ #1 board voted 6-0, on a motion by John Coffee seconded by Tom Warren II, to accept its annual financial report for the year ended September 30, 2023 'pending the correction to the receivable section.' The minutes do not say what the correction was or whether it concerned the loan to the LGC.[31]
· Related development
Sale of the garage retail space to Llano Group closes
The LGC reported the sale of 22,169 square feet of commercial space in the downtown parking garage to Llano Group, LLC ($1,900,000, approved by the council on September 12, 2023) complete as of July 2, 2024.[28][36]
- ✓ Verified
LGC minutes record that Llano Group's feasibility period had ended with a 'drop dead' closing date of June 25, 2024, that on May 15, 2024 the board approved a 75-year parking lease for 90 spaces with AMA Condos 79101, LLC tied to the sale, and that the sale was complete as of July 2, 2024.[36][28]
- ✓ Verified
As of October 10, 2026 no fetched source states how much of the $1.9 million sale price was applied to the TIRZ #1 note or the City's loan to the LGC, or whether either was paid off; TIRZ #1 and LGC minutes reviewed for July 2023 through 2026 do not report a loan balance or payoff.[28][6][37]
· Context
TIRZ #1 board takes up Herring Hotel incentive: 10-year tax reimbursement and up to $900,000
The board considered a developer agreement with Herring Hotel Partners, LLC to turn the historic Herring Hotel at 311 SE 3rd Ave. into a hotel of about 200 rooms. The draft agreement provides 100% reimbursement of the property's tax increment for 10 years and a one-time grant of up to $900,000 for facade and infrastructure work, if at least $90 million is invested. NewsChannel 10 reported that the board voted to fund up to $900,000.[7][38][39]
- ✓ Verified
The draft TIRZ #1 agreement with Herring Hotel Partners, LLC provides 100% annual reimbursement of the property's ad valorem tax increment for up to 10 years and a one-time grant of up to $900,000 for facade and infrastructure work after a certificate of occupancy, contingent on at least $90 million of private investment, a building permit within 15 months of council approval and a certificate of occupancy within three years of the permit; the zone would also reimburse the City up to $244,000 to clear a federal transit interest on City-owned property committed to the project.[7]
- Grant max
- $900,000
- Min investment
- $90,000,000
- City reimbursement max
- $244,000
- Reimbursement
- 100%
· Context
City files TIRZ #1 annual report for 2025: $2.26 million increment, $4.84 million fund balance
The City's Chapter 311 annual report to the Texas Comptroller for reporting year 2025 lists $2,257,382 in property tax increment received, a $4,839,587 tax increment fund balance, a $139,519,786 base value and $176,485,407 in captured appraised value. Reports for 2022-2024 show increments of $1.63 million, $1.77 million and $2.02 million.[4][40][41][42]
- ✓ Verified
The City's annual TIRZ #1 reports to the Comptroller list property tax increment received and year-end tax increment fund balance of $1,632,893 and $3,443,754 (2022), $1,774,401 and $4,253,894 (2023), $2,015,774 and $3,997,083 (2024), and $2,257,382 and $4,839,587 (2025).[40][41][42][4]
- Increment 2022
- $1,632,893
- Increment 2023
- $1,774,401
- Increment 2024
- $2,015,774
- Increment 2025
- $2,257,382
- Fund balance 2022
- $3,443,754
- Fund balance 2023
- $4,253,894
- Fund balance 2024
- $3,997,083
- Fund balance 2025
- $4,839,587
- ✓ Verified
For 2025 the report lists $682,890 in economic development spending, $199,600 in public improvements, $6,000 in administrative costs, $151,042 in other costs and $177,020 in other revenue, with $135,500 in bond principal and $36,314 in bond interest due.[4]
- Economic development
- $682,890
- Public improvements
- $199,600
- Administrative
- $6,000
- Other costs
- $151,042
- Other revenue
- $177,020
- Bond principal due
- $135,500
- Bond interest due
- $36,314
- ✓ Verified
Reported captured appraised value was $129,988,864 (2022), $152,987,567 (2023) and $176,485,407 (2025), with total appraised value of $316,005,193 in 2025; the 2024 report lists captured value as $0 and total value equal to the base, which the 2023 and 2025 reports do not support.[40][41][42][4]
- Captured 2022
- $129,988,864
- Captured 2023
- $152,987,567
- Captured 2025
- $176,485,407
- Total 2025
- $316,005,193
- ✓ Verified
In October 2022 staff told the TIRZ #1 board that 11 developer reimbursement agreements were active (12 had been made; one was terminated after the developer did not proceed).[43]
- Active agreements
- 11
· Context
TIRZ #1 board starts work on updating the project and financing plan
Staff gave the board an outline for issuing a request for qualifications to hire a consultant to help update the TIRZ #1 Final Project and Financing Plan and the Downtown Amarillo Strategic Action Plan. Progress reports were on the June 11, 2026 agenda. No fetched source reports a consultant selection.[44][45]
- ✓ Verified
On April 15, 2026 staff outlined steps for a request for qualifications to hire a consultant to help update the TIRZ #1 Final Project and Financing Plan and the Downtown Amarillo Strategic Action Plan; board member Gary Pitner said the Strategic Action Plan should inform the financing plan. A progress report was on the June 11, 2026 agenda. No fetched source reports a consultant selection or an adopted update.[44][45]
· Resolution
FY2025 annual report: City loan to TIRZ #1 at $972,218; no LGC loan balance stated
The City's annual comprehensive financial report for the year ended September 30, 2025 lists $972,218 owed on the City's loan to TIRZ #1, $682,890 in TIRZ #1 property tax rebates for the year, $9,630,000 outstanding on the 2016 garage bonds, and LGC expenses of $2,259,604. Its TIRZ #1 note no longer gives a balance for the TIRZ #1 loan to the LGC.[6]
Amarillo Local Government Corporation (LGC)
- ✓ Verified
The FY2025 annual report states that TIRZ #1 made $682,890 in property tax rebates in 2025, had $1,160,000 in outstanding commitments for community and Center City projects at September 30, 2025, and owed $972,218 on the City's fiscal-2017 loan.[6]
- Rebates
- $682,890
- Commitments
- $1,160,000
- City loan balance
- $972,218
- ✓ Verified
The City's General Obligation Refunding Bonds, Series 2020 (issued May 12, 2020) include $1,460,000 supported by TIRZ #1, of which $905,000 was outstanding at September 30, 2025, maturing by February 15, 2032.[6]
- Tirz supported issued
- $1,460,000
- Outstanding 2025
- $905,000
- ✓ Verified
The City's statement of activities shows the LGC with $2,259,604 in expenses, no charges for services and $473,018 in operating grants and contributions in fiscal 2025, a net expense of $1,786,586; for fiscal 2024 it shows $2,278,916 in expenses and $825,721 in program revenue.[6][15]
- Expenses 2025
- $2,259,604
- Operating grants 2025
- $473,018
- Net expense 2025
- $1,786,586
- Expenses 2024
- $2,278,916
- Program revenue 2024
- $825,721
- ✓ Verified
The FY2025 report's ten-year table lists LGC expenses of $64,084 (2016), $311,006 (2017), $2,022,550 (2018), $2,042,521 (2019), $2,224,775 (2020), $2,333,666 (2021), $2,079,476 (2022), $1,916,744 (2023), $2,278,916 (2024) and $2,259,600 (2025).[6]
- Expenses 2016
- $64,084
- Expenses 2017
- $311,006
- Expenses 2018
- $2,022,550
- Expenses 2019
- $2,042,521
- Expenses 2020
- $2,224,775
- Expenses 2021
- $2,333,666
- Expenses 2022
- $2,079,476
- Expenses 2023
- $1,916,744
- Expenses 2024
- $2,278,916
- Expenses 2025
- $2,259,600
Related storylines: Downtown catalyst projects: convention hotel, parking garage and the MPEV ballpark (2011-2026)Financing the Amarillo Civic Center expansion and renovation (2016-2026)Amarillo's property tax rate and voter-approved debt (2016-2026)