Northside Councilman Concerned About TIRZ Equity

SAN ANGELO, TX — Only in San Angelo is a gigantic downtown Tax Increment Reinvestment Zone, or TIRZ, split in half to satisfy the political “Northside vs. Southside” divide.

The TIRZ stretches from Avenue D and follows the Chadbourne-Oakes Corridor north to 29th Street, including the 29th Street Walmart. In San Angelo, politicians more than a decade ago split the TIRZ — and the money generated within each — along 3rd Street into northern and southern zones. Since then, politicians have wrangled with the money as the Northside’s Walmart-enhanced tax base generates millions while the Southside’s non-profit Shannon and government properties only generate thousands in revenue.

Tuesday, City Council is set to decide if Northside TIRZ money can be used to finance projects inside the Southside TIRZ and that has Northside constituents asking questions, said Councilman Tom Thompson.

Thompson represents Single Member District 2 that encompasses portions of the Northside TIRZ. We asked about the transfer of some money from the Northside TIRZ account to the Southside TIRZ account to finance Southside projects.

“The Northside TIRZ is just as important and should be treated equally,” Thompson said. “Make sure we’re fair.”

On the other hand, Thompson has a citywide vision on economic development.

“TIRZ money is TIRZ money,” he said. “We have small business development that needs to move forward and we can’t hamper that with the east-west line.”

Thompson previously said he was not in favor of hoarding Northside TIRZ money that wasn’t being used. He said he desired for all TIRZ money to enhance the entire zone within reason. His principle concern was big money projects would overshadow his constituents smaller projects.

“If there is unused money in the northern TIRZ account, let’s move it to the south where it can be used,” he said back in March.

The question is, will Thompson’s constituents allow him to vote to transfer Northside TIRZ money to the Southside tomorrow. Or, will there be a backlash if he votes to do so.

The decision is up to the City of San Angelo Council that meets Tuesday morning, July 19, at 8:30 a.m. to decide.

Among the Southside TIRZ projects that will be financed with Northside money will be whether San Angelo multi-millionaire Lee Pfluger will be given $52,159 to remove the remaining letters atop the Cactus Hotel that some have complained about being a longterm eyesore. Whatever happens tomorrow on the decision will likely be based upon how Thompson views the issue. Councilman Harry Thomas, SMD 3, represents voters in both sides of the TIRZ divide. Thomas said he was going to vote in favor of the transfer.

“I have as many businesses in the north as I do in the south and I want everybody to be successful,” Thomas said.

Councilwoman Lucy Gonzalez, SMD 4, represents the other half of the Northside TIRZ and no Southside TIRZ. We could not reach her for comment but will watch what she says from the dais tomorrow.

To understand more about the TIRZ issue, the following stories are available:

• The Titans of Downtown on conflicting visions of downtown revitalization
• City Revisits the Northside v. Southside Politics of TIRZ