DART to implement tax increment reinvestment zones to support transit growth, development in member cities
A framework for an interlocal agreement was approved by the Dallas Area Rapid Transit (DART) Board of Directors to allow the agency to contribute a percentage of its sales tax to tax increment reinvestment zones. The zones will be created by DART’s member cities to help revitalize certain areas within the agency’s service area.
DART notes the framework was developed in collaboration with member cities to stimulate more transit-oriented development, grow transit ridership, increase tax revenue and leverage DART’s transportation services and facilities as an economic development asset.
“This framework provides a consistent, equitable approach that allows DART to support the economic development priorities of our member cities while preserving our financial integrity and service commitments,” said DART CEO Nadine Lee. “It reflects our belief in being a collaborative partner in shaping communities that are both transit-friendly and economically vibrant.”
Tax increment reinvestment zones, also known as TIF Districts, are an economic development tool used by municipalities to reinvest tax revenue to fund infrastructure and revitalization projects in designated areas. The newly approved interlocal agreement framework enables DART to participate automatically in these zones under clearly defined terms, ensuring that contributions support initiatives aligned with DART’s mission and public transit goals.
“DART’s leadership in creating this new economic development tool for its member cities has been exceptional,” said Richardson City Manager Don Magner. “Their participation in our [tax increment reinvestment zones] will empower us to be more creative when competing for new developments and attracting new business to our community. We look forward to partnering with DART to strengthen and grow our economy and appreciate their willingness to engage on this important initiative.”
DART says the approval is the result of several months of discussion with city leaders and agency staff and comes at a time when collaboration between regional agencies is more important than ever.
