ORDINANCE relating to Fiscal Affairs of MAIN STREET/MARKET SQUARE REDEVELOPMENT AUTHORITY d/b/a DOWNTOWN REDEVELOPMENT AUTHORITY ON BEHALF OF REINVESTMENT ZONE NUMBER THREE, CITY OF HOUSTON, TEXAS (MAIN STREET/MARKET SQUARE ZONE); approving Fiscal Year 2025 Operating Budget for the Authority and Fiscal Years 2025-2029 Capital Improvement Plan Budget for the Zone - DISTRICTS C - KAMIN; H - CASTILLO and I - MARTINEZ

Ordinance approving the Fiscal Year 2025 Operating Budget for the Downtown Redevelopment Authority and Fiscal Years 2025-2029 Capital Improvement Plan (CIP) Budget for Reinvestment Zone Number Three, City of Houston, Texas (Main Street/Market Square Zone).

RECOMMENDATION:

Ordinance approving the Fiscal Year 2025 Operating Budget for the Downtown Redevelopment Authority and Fiscal Years 2025-2029 Capital Improvement Plan (CIP) Budget for Reinvestment Zone Number Three, City of Houston, Texas (Main Street/Market Square Zone).

SPECIFIC EXPLANATION:

The Administration has undertaken a comprehensive review of the proposed FY25 TIRZ budgets and recommends approval of the FY25 Operating Budget for the Downtown Redevelopment Authority (the Authority) and Fiscal Years 2025-2029 Capital Improvement Plan (CIP) Budget for Reinvestment Zone Number Three, City of Houston, Texas (Main Street/Market Square Zone).

• Total Operating Budget for FY25 is $42,351,978 which is comprised of $34,619,641 in Total Project Costs and $7,732,337 for required fund transfers.
• The FY25 Operating Budget also includes $822,083 for administration and overhead; $20,679,906 for capital projects such as NHHIP support funding, More Space Main Street 2.0, Downtown Living Initiative 2.0, and the Office Conversion Incentive Program; $8,892,002 for developer/project reimbursement agreements such as Buffalo Bayou Park, Market Square Tower, and Downtown Launch Pad 2.0; and $4,193,650 in debt service.
• The FY25 Operating Budget has a municipal services charge of $1,065,000 to pay for the incremental cost of providing services to the area and a supplemental municipal charge of $980,000.
• The FY25-FY29 CIP Budget totals $90,584,832 and includes provisions for the EaDo cap park, Downtown Living Initiative 2.0, More Space Main Street 2.0, and pedestrian lighting improvements.
• The Authority must advise the Chief Economic Development Officer of any budget amendments.  Adjustments to the budget that involve an increase, decrease, or adjustment of $400,000 or more must be approved by City Council.

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Gwendolyn Tillotson-Bell

Chief Economic Development Officer

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Jennifer D. Curley

832.393.0981