Title
Consider approving Resolution No. 2025-219 to authorize modifications to the residential Demolition/Rebuild Program Inventive Agreement to reflect a four (4) year property tax rebate; and take appropriate action.
Body
REQUESTOR:
Mayor Terry Lynne, Mayor Pro Tem Tina Bennett-Burton
BACKGROUND:
In 2009, the City Council approved a resolution to allow residents of Farmers Branch to demolish and rebuild their existing homes with cash and property tax incentives. The resolution was later amended to include builders and developers as eligible for the incentive.
Current incentives depend on a residential property's original improvement value and offer a range of incentives, including $0 to $30,000 cash grant and three to seven years of City property tax rebate. The City Council must review and approve all applications.
As part of our ongoing evaluation of the Demolition Rebuild (Demo/Rebuild) program, staff reached out to several experienced builders for feedback. Three of the four who responded preferred a longer-term tax rebate with no cash grant. Their responses highlighted three key areas of focus:
* Program Simplification
* Fairness and Equity
* Program Reach
At the conclusion of the September 2, 2025, City Council meeting, staff were directed to analyze and provide a cost estimate for implementing a four-year tax rebate, with no cash grant component, under the demo/rebuild program as approved by Council.
On October 8, 2025, during the City Council meeting, staff presented the proposed cost estimates for implementing a four-year tax rebate incentive with no cash grant under the demo/rebuild program. Following the presentation, the Council approved moving forward with the implementation of the four-year tax rebate with no cash grant incentive. Staff will notify all participating builders and developers of the change, with the agreement taking effect on January 1, 2026, following the project's approval date.
DISCUSSION:
The Council will discuss appr...
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