Page 31 - Hurst FY20 Approved Budget

A vision has been established to backfill the vacant Sears space and to make North East Mall a
new generation “destination”. The city is excited as JC Penney’s kicked off the future vision by
recently completing a multi-million dollar renovation. The new “Penney’s” store at North East
Mall simply promises what “customers want” according to their CEO. So far traffic at Penney’s
indicates that customers are pleased. To view a current lineup of mall stores, please visit www.
simon.com/mall/north-east-mall.

The city of Hurst has been successful in negotiating other similar, smaller-scale agreements with
other companies under the model made successful with Simon Property Group. All current
agreements were executed under chapter 380 of the Texas Local Government Code; however,
chapter 312 agreements are now also being considered. Chapter 312 agreements are for a
shorter term and create a true tax abatement rather than a revenue sharing agreement. Under
the legislative revenue cap that will affect future budget years the city is forced to reevaluate use
of our current economic development tools. The city will continue to entertain 380 agreements
and consider future 312 agreements; however, we will be vigilant to ensure the city does not
share sales tax beyond what is required to provide basic services to the project and does
not transfer costs to our residential taxpayers. We will approach all economic development
negotiations with consideration for return on investment and from a joint venture approach.

Infrastructure: In partnership with other agencies the city has completed important
infrastructure projects that have spurred additional private investments in the city. Perhaps
the most visible example is the partnership with the State of Texas for the reconstruction and
widening of State Highway 183 that crosses the city of Hurst from its west to east boundaries.
The city views this freeway as our “fifty-yard line.” City staff worked diligently with the state
and private developers to take advantage of the freeway improvements and was recognized
by TXDOT as implementing the most active redevelopment plan of the five cities impacted.
The state purchased right-of-way throughout the highway corridor and many aging buildings
were demolished to make room for the new highway. City staff used this opportunity to
replat existing property for new businesses to call home. In-N-Out Burger opened just north
of the highway where an apartment complex was condemned and demolished. South of the
freeway, a vacant “big box” structure was demolished and several restaurants moved into the
space including an Outback Steakhouse, Jack in the Box, and Taco Cabana. Target Super Center
completed their remodel and Corner Bakery opened along with a Sprint store. There continues
to be development interest in the area with a hotelier evaluating a location along 183 near
Target. Property values and sales tax revenue continue to benefit from the improved highway
and new businesses along the corridor. In addition to large scale projects with significant
economic impact, the city continues to focus on less visible projects that provide critical facilities
for the public. The city recently completed major waste water projects and incorporated a new
innovative road surface treatment called HA5. This product extends the useful life of our streets
through the application of a micro seal that reduces the impact of UV light and water intrusion.
The city will focus continue to focus on our infrastructure with particular focus on critical road
improvements in 2019-2020.

Leadership and Innovation: After establishing the Code of Ideals in 1999, and fully permeating
the organization with the meaning of the Code, we are now focusing our efforts on “Honoring the
Code.” At my first employee conference as City Manager, I challenged Team Hurst to Honor the
Code in all things. At the second conference, we are building on Honoring the Code, by doing so
“The Hurst Way”. This idea is based on one of the principles from Jim Collins’ book “Good to Great”
and is the “scorecard” we use to deliver services to Hurst citizens. The Hurst Way includes three
components. First Public Service, we passionately serve the community while demonstrating

15