ORDINANCE relating to Fiscal Affairs of OLD SIXTH WARD REDEVELOPMENT AUTHORITY ON BEHALF OF REINVESTMENT ZONE NUMBER THIRTEEN, CITY OF HOUSTON, TEXAS (OLD SIXTH WARD ZONE); approving Fiscal Year 2026 Operating Budget for the Authority and Fiscal Years 2026-2030 Capital Improvement Projects Budget for the Zone - DISTRICT H - CASTILLO

SUBJECT:  Approve the Fiscal Year 2026 Operating Budget for Old Sixth Ward Redevelopment Authority and Fiscal Years 2026-2030 Capital Improvement Plan (CIP) Budget for Reinvestment Zone Number Thirteen, City of Houston, Texas (Old Sixth Ward Zone).    

RECOMMENDATION:

City Council adopt an ordinance approving the Fiscal Year 2026 Operating Budget for Old Sixth Ward Redevelopment Authority and the Fiscal Years 2026-2030 CIP Budget for Reinvestment Zone Number Thirteen, City of Houston, Texas (Old Sixth Ward Zone).    

SPECIFIC EXPLANATION:

The Administration has undertaken a comprehensive review of the proposed FY26 TIRZ budgets and recommends approval of the FY26 Operating Budget for the Old Sixth Ward Redevelopment Authority (the Authority) and the FY26-FY30 CIP Budget for Reinvestment Zone Number Thirteen, City of Houston, Texas (the Zone).

• The Total Operating Budget for FY26 is $7,498,136, which includes $2,371,042 for required fund transfers required by the triparty agreement between the City, Zone, and Authority; and the interlocal agreement between the Zone and the Houston Independent School District.
• The FY26 Budget also includes $5,127,094 for Project Costs committed to debt service and the planning, designing and construction of pedestrian improvements to enhance pedestrian safety and accessibility.
• The FY26-FY30 CIP totals $18,420,000 and includes provisions for design and construction of pedestrian improvements, roadway and street reconstruction.  
• The FY26 Operating Budget includes $4,620,000 for capital expenditures and $154,800 for administration and overhead. 
• 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 require City Council approval.
•   The FY26 Operating Budget has a municipal services charge of $142,891.

_________________________

Gwendolyn Tillotson-Bell

Chief Economic Development Officer

Jennifer Curley, Assistant Director

832.393.0981