Consider and take appropriate action on an Economic Development Performance Agreement between the Kaufman Economic Development Corporation and Myrish Hospitality, LLC, for site improvements related to the Hampton Inn hotel project.

Staff Report & Agenda Item Details

The Hampton Inn developer secured financing, and after negotiations, plans to break ground on or before September 1, 2026. The Council was updated and approved an amended Chapter 380 Agreement at the June 2026 meeting, providing a rebate on a portion of hotel occupancy taxes for 7 years. The KEDC’s agreement is as follows: KEDC to reimburse developer $100,000 for on-site infrastructure site improvements upon proof of receipts from general contractor. Should hotel receive a CO within 18 months from September 1, 2026, the project incentive will remain as a grant. Should hotel receive CO between 18 and 24 months, the incentive turns into a 0% interest loan that gets repaid to KEDC at $20,000 per year for 5 years. Should hotel be unable to receive CO within 24 months, the incentive shall be repaid to KEDC immediately or repaid on a 5 year repayment schedule with interest.

This motion is scored as RESTRAINS_GOVERNMENT (Impact Weight: 4.6/10). Under the Bastiat Liberty Watchdog Index, voting YES on measures that cap or reduce ad valorem tax burdens, expand taxpayer exemptions, retire debt early, enforce competitive bidding caps, or remove regulatory/zoning barriers to private property rights earns a positive Pro-Liberty score.