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ORDINANCE NO. 1513
AN ORDINANCE ESTABLISHING CITY OF CIBOLO REINVESTMENT
ZONE NUMBER 2; PROVIDING FOR SEVERABILITY; AND,
PROVIDING AN EFFECTIVE DATE.
WHEREAS, pursuant to Texas Tax Code 312.002 City Council passed an approved
Ordinance No. 1265, electing to establish the eligibility of the City to participate in tax abatement;
and
WHEREAS, City Council passed an approved Ordinance No. 1496, establishing
guidelines and criteria governing abatement agreements granted by the City; and
WHEREAS, pursuant to Texas Tax Code 312.201, City Council designates the Area,
described herein, as City of Cibolo Reinvestment Zone No. 2; and
WHEREAS, City Council finds the Area:
(1) substantially arrest or impair the sound growth of the municipality creating the
zone, retard the provision of housing accommodations, or constitute an economic
or social liability and be a menace to the public health, safety, morals, or welfare in
its present condition and use because of the presence of:
(A) a substantial number of substandard, slum, deteriorated, or deteriorating
structures;
(B) the predominance of defective or inadequate sidewalks or streets;
(C) faulty size, adequacy, accessibility, or usefulness of lots;
(D) unsanitary or unsafe conditions;
(E) the deterioration of site or other improvements;
(F) tax or special assessment delinquency exceeding the fair value of the land;
(G) defective or unusual conditions of title;
(IT) conditions that endanger life or property by fire or other cause; or
(I) any combination of these factors;
(2) be predominantly open and, because of obsolete platting, deterioration of
structures or site improvements, or other factors, substantially impair or arrest the
sound growth of the municipality;
(3) be in a federally assisted new community located in a home -rule municipality
or in an area immediately adjacent to a federally assisted new community located
in a home -rule municipality;
(4) be located entirely in an area that meets the requirements for federal assistance
under Section 119 of the Housing and Community Development Act of 1974 (42
U.S.C. Section 5318);
(5) encompass signs, billboards, or other outdoor advertising structures designated
by the governing body of the municipality for relocation, reconstruction, or removal
for the purpose of enhancing the physical environment of the municipality, which
the legislature declares to be a public purpose; or
(6) be reasonably likely as a result of the designation to contribute to the retention
or expansion of primary employment or to attract major investment in the zone that
would be a benefit to the property and that would contribute to the economic
development of the municipality.
WHEREAS, City Council conducted a public hearing on October 27, 2025; whereat
interested persons were invited to provide evidence, give testimony and comments for or against
designating the Area as a reinvestment zone; and
WHEREAS, on October 15 & 19 2025, a date not later than the seventh day before the
date of the aforementioned public hearing notice of the public hearing was published in Seguin
Gazette a newspaper of general circulation in the City; and
WHEREAS, on October 14, 2025, a date not later than the seventh day before the date of
the aforementioned public hearing notice of the public hearing was delivered by mail and/or hand,
to Superintendent of Marion ISD, Superintendent Schertz-Cibolo-Universal City ISD, Guadalupe
Tax Assessor -Collector, Chief Appraiser for
Guadalupe Appraisal District, Guadalupe County Judge Kyle Kutschner, and Guadalupe County
Commissioner Pct. 4 Stephen Germann, which constitutes the governing body of each taxing unit
that includes the Area in its boundaries; and
WHEREAS, City Council finds the improvements sought for the Area, as described
herein, are feasible and practical and will benefit the Area after the expiration of the tax abatement
agreement proposed for the Area.
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF CIBOLO:
Section 1. Findings adopted. The legislative findings set out above are adopted and
incorporated herein for all purposes.
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4905-7236-6450, v. 1
Section 2. The Area. The Area that is the subject of this Ordinance is described in Exhibit
"A", attached hereto and incorporated herein for all purposes, said Area being within the corporate
limits or extraterritorial jurisdiction of the municipality.
Section 3. The Improvements. The improvements sought are described in Exhibit `B",
attached hereto and incorporated herein for all purposes.
Section 4. Reinvestment Zone Established. The Area is established as City of Cibolo
Reinvestment Zone No.2.
Section 5. Commercial -industrial Tax Abatement Designation. City of Cibolo Reinvestment
Zone No. 2 is designated for commercial -industrial tax abatement.
Section 6. Expiration Date. City of Cibolo Reinvestment Zone No. 2 shall expire five years
from the effective date of this Ordinance unless renewed prior to expiration.
Section 7. Renewal. The expiration date can be extended for periods not to exceed five years,
by adoption of an ordinance for such purpose prior to the expiration date.
Section 8. Severability. In the event any clause, phrase, provision, sentence, or part of this
Ordinance or the application of the same to any person or circumstances shall for any reason be
adjudged invalid or held unconstitutional by a court of competent jurisdiction, it shall not affect,
impair, or invalidate this Ordinance as a whole or any part or provision hereof other than the part
declared to be invalid or unconstitutional; and the City Council of the City of Cibolo, Texas,
declares that it would have passed each and every part of the same notwithstanding the omission
of any such part thus declared to be invalid or unconstitutional, whether there be one or more parts.
Section 9. Effective Date. This Ordinance shall become effective immediately upon its
passage, approval and publication as provided by law.
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4905-7236-6450, v. 1
PASSED AND APPROVED by a vote of / "ayes" in favor and 0 "noes" against
on this first and final reading in full compliance with applicable provisions of the Texas Open
Meetings Act and Texas Tax Code Chapter 312 on the 27 day of October 2025.
CIBOLO, TEXAS
ATTEST:
Peggy Cirnics-,141KIC
City Secretary
APPROVED AS TO FORM:
l u&
City Attorney
Denton Navarro Rodriguez Bernal Santee & Zech, P.C.
4905-7236-6450, v.1
Mayor
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EXH I BIT A
No Text
EXHIBIT B
Project Site: Alamo Racetrack near Aisin (I1-1-10) -> Current Annual Property Tax Value $13,000
15 -year partial property tax abatement/ rebate:
Years 1 -10:75% of full tax rate ($0.4990) abatement
• Estimated Revenue for Years 1-10: $9,760,936
Years 11-15: 50% of M&O rebate tax rate ($0.3197)
• Estimated Revenue for Years 11-15: $15,880,268
Total value of abatement/rebate over 15 -year term: $36,767,581
• Project requested a 50/50 spilt of sales
tax receipts from City's $0.01 sales tax
• Project representatives estimate a $5
million sales tax impact
• Project's capped share would be $2.5
million of receipts
o Note: Receipts over the $5 million
in sales tax would not quality for
the split.
. __. __ . _ _ to Proect fr
• Infrastructure reimbursement: $300,000
(estimated cost in Year 1)
• Preferred permitting fees: $453,756.50
• Workforce Development: $6,000
• Working with Guadalupe County for
additional incentives on county -level
• Required minimum investment: $450 million, generating 425 FTE
• This company does operate brick -and -mortar stores, and City of Cibolo staff would express a
preference on a site plan to include a set back from 1-10 of 20 acres for a future brick -and -
mortar.
An overall incentive package of +$32.5 million, based on current project data.
An overall return to the City of +10 million Year 10, ,.52 million Year 20 and +121 million
Year 30