The citizens of Hockley County voted Saturday to allow the county commissioners to issue $15 million worth of bonds to build a Multi-Purpose Event Center in Levelland Texas.
This is the culmination of over a decade of work and planning by a dedicated group of individuals who never stop believing that Levelland and Hockley County deserved to have this opportunity. And an opportunity it will be, this project opens the door for major retail opportunities in the Levelland area including new restaurants, hotels, and a truck stop. With the thousands of visitors that will be coming into Levelland and Hockley County for various events each year, Levelland is poised for growth like never before in both housing development and job creation expecially for South Plains College students who want to work, live and go to school in Levelland.
And icing on the cake of this weekend's vote, less than 24 hours after the bond passed the Levelland EDC received its first offical request to reserve the new banquet facility for January 2011 from the Hockley County School Employees Credit Union. You can see the letter here.
In a unanimous vote at Monday night's city council meeting the Levelland City Council voted to create the Levelland TIF#2. This second Tax Increment Financing Zone will help fund the new Levelland Industrial Rail Park being spearheaded by the Levelland Economic Development Corporation.
Participating in the second TIF District for Levelland is the City of Levelland, Hockley County and the High Plains Underground Conservation District. All three of the taxing entities chose to support the Levelland Industrial Rail Park by electing to forgo the incremental growth in tax value created by new growth in the park in order to pay for the infrastructure needed to create new industrial growth.
The TIF#2 came about after the success of TIF#1 which was created to spur new housing development in Levelland. With over 19 houses being built in since the creation of TIF#1 the City of Levelland made the decision to spur industrial growth by partnering with the Levelland EDC to create the Levelland Industrial Rail Park, a 280 acre rail served industrial park with full city utilities.
The image below shows both TIF #1 and TIF #2.
The following story submitted by the Levelland & Hockley County News Press 806.894.3121
Hockley County Commissioners approved a resolution of support for the proposed Tax Increment Financing Reinvestment Zone proposed for the future Levelland Industrial Rail Park.
Levelland City Manager Rick Osburn met with the commissioners to thank them for their endorsement of the TIF zone and to ask them to put their support into a resolution, which they approved unanimously. He told commissioners that the South Plains College Board of Regents will consider the TIF proposal at their April meeting and that the college's involvement will be essential to make the whole program work.
"Basically, there is no risk with the taxing entities benefiting from personal property and inventory taxes if Project Gorilla goes forward," Osburn said. "Not doing it is the biggest loss." This TIF is to encourage industrial development.
The city and the Levelland Economic Development Corporation have been working on a project which will require the construction of a 550,000 sq. ft. manufacturing facility, which would add about $28 million in new real property value and $60 million in personal property consisting of manufacturing equipment and inventory.
By law, new taxes generated by real property development go into the TIF program to pay for the infrastructure while new taxes from new personal property would go directly to the taxing entities.
Osburn agreed that the Levelland TIF Zone #1 the city and county participate in has done exactly what it was supposed to do: stimulate housing construction. The goal was seven new houses; it has already resulted in 19 new houses being permitted. Osburn also asked that commissioners appoint a representative to serve on the new TIF board. Commissioner J.L. "Whitey" Barnett agreed to serve in that capacity.
Commissioners also authorized the filing of paperwork for the upcoming multi-purpose event center bond election, approved refunds of overpayments of property taxes, denied the resale of property in Sundown, approved a resolution which will allow the county to be reimbursed for expenses associated with the multi-purpose event center if the bond issue passes, and okayed an interlocal agreement between the city and the count in regard to a Justice Assistance Grant Program application and possible grant.
With the release of December Building Permits report, Levelland sees positive results from efforts to encourage housing starts. Officials credit the Tax Increment Financing District as the major reason for new housing starts. City Manager, Rick Osburn said, "Levelland's Tax Increment Financing District has helped start a good number of houses that might not otherwise have been able to get going." While new home starts arcoss the nation are down, the housing market continues to stay strong with a number of builders working on new home starts throughout the city. 27 new home construction permits were issued for 2008, surpassing the 22 permits issued in 2007 and 21 permits issued in 2006. 
The TIF was approved by the City of Levelland, Hockley County, and the local water district two years ago allowing the entities to collect ad valorem revenues that are generated by increases in property values and new investment for the purpose of off setting upfront infrastructure development cost.
The additional revenues, in combination with contributions by developers and loans by the Tax increment Financing Board has enabled housing developers to move more quickly on housing development projects creating a number of new lots that were not on the market prior to the TIF being put in place.