The Town Council on Tuesday, Nov. 10, will hold a public hearing on raising how much the developer of The Gates of Prosper can be repaid for public improvements through the town's first tax increment reinvestment zone.
Prosper created TIRZ No. 1 in 2008 to help pay for infrastructure at The Gates of Prosper, the Blue Star Land development. In 2014 the town set the maximum construction payment to the developer at $58 million, with a combined cap of $93,079,000 once interest is included.
Town staff say construction costs have climbed sharply since then. Two items on Tuesday's agenda would lift the construction payment cap to $76,714,144: an ordinance amending the zone's project and finance plan, and an amendment to the development agreement among the town, the Prosper Economic Development Corporation and Blue Star.
The total with interest would stay at $93.1 million, and staff project the last reimbursements would be paid in September 2033.
Where the money would go
A cost summary prepared by Blue Star in August shows about $52.6 million of the original $58 million already requested. It lists $24.1 million in remaining eligible work:
- Lovers Lane bridge: $11.5 million total, $11.27 million of it still to be reimbursed
- Godwin Parkway (the Lovers Lane section): $3.55 million remaining of a $7 million project
- Parks and open space: $3 million, which the summary says could be covered by park fee credits instead
- Main Street, a new street section and First Street drainage: $2.5 million, $2 million and $1 million
- Gates Parkway section: $825,000
