The Tarrant Regional Water District made its first contribution to a new entity that will pay for improvements, services and amenities on Panther Island.<\/p>\n
The Fort Worth City Council voted Tuesday night to accept a $124,103 contribution from the water district that will go into the newly established Panther Island Public Improvement District<\/a> No. 23. The water district, a major property owner on Panther Island, is tax-exempt but agreed to pay assessments to spur development.<\/p>\n The council also approved an agreement authorizing TRWD to manage the district for the current fiscal year. Typically, landowners in such a district pay additional property assessments to help cover upgrades in the area.<\/p>\n TRWD\u2019s contribution represents its assessment at the maximum 16.5 cents per $100 of value of property the water district owns on the island, said Susan Alanis, the Panther Island program director for TRWD.<\/p>\n TRWD\u2019s first-year budget for the initial funds included $32,003 for operations and maintenance; $10,000 for marketing; $50,000 for public events; $1,840 for a city administrative fee; and $32,260 for reserves.<\/p>\n The item was included on the council\u2019s consent agenda, which members approve with one vote and no discussion.<\/p>\n Other public entities that own property in the Panther Island area will be asked to contribute to the improvement district even though they\u2019re tax-exempt, city officials have said.<\/p>\n The city of Fort Worth owns property on Panther Island and will contribute to the district. Assessments would presumably decline over time as they sell property for development, Alanis said.<\/p>\n Officials estimate Panther Island will need about $2.2 million worth of improvements to the 407-acre district between 2027 and 2031, according to a February city report.<\/p>\n City Council members will consider the public improvement district\u2019s initial budget and improvement plan later this summer.<\/p>\n Alanis said project costs and the budget will match.<\/p>\n \u201cWe made the project costs (budget) based on the resources we have,\u201d Alanis said. \u201cWe wouldn\u2019t spend any more than we have coming in.\u201d<\/p>\n It\u2019s not clear yet what kinds of public events TRWD plans in fiscal 2026, Alanis said.<\/p>\n \u201cIt wouldn\u2019t surprise me if a lot of it fell to fund balance,\u201d she said.<\/p>\n Texas law allows<\/a> such districts, which are typically in place for a number of years to cover costs of improvements and maintenance in a specified area. They are often renewed.<\/p>\n The city will administer the district, and TRWD will manage revenue. As the district grows and development ensues, an organization like Downtown Fort Worth Inc.<\/a> will form to take on management, officials have said.<\/p>\n There are three extra assessment levels under the public improvement district.<\/p>\n The first is 2 cents per $100 of assessed property value, which will be imposed until the TRWD board authorizes the construction contract. Construction would begin this summer or fall.<\/p>\n However, no assessments would occur under the 2-cent rate, officials have said.<\/p>\n The next level is 5 cents per $100 of valuation, which would be imposed until the area has $50 million in new private improvements. Currently, the proposed district has a zero value of private improvements.<\/p>\n The third level is 16.5 cents per $100 of valuation. That would kick in after that $50 million threshold is reached.<\/p>\n The TRWD board committed in November to pay the maximum assessment starting this year. Other Panther Island-area property owners\u2019 assessments begin in 2027.<\/p>\n TRWD is expected to authorize a contract this spring to begin construction on the east-west canal that will serve as an urban waterfront in the district.<\/p>\n