The Dallas Area Rapid Transit (DART) Board of Directors has approved the framework for an interlocal agreement (ILA) that will enable the agency to contribute a percentage of its sales tax to tax increment reinvestment zones (TIRZs) created by its member cities to revitalize certain areas within DART’s service area.

The framework was developed in collaboration with member cities to stimulate more transit-oriented development, grow transit ridership, increase tax revenue, and leverage DART’s transportation services and facilities as an economic development asset.

The approval is the result of several months of discussion with city leaders and DART staff.

“This framework provides a consistent, equitable approach that allows DART to support the economic development priorities of our member cities while preserving our financial integrity and service commitments,” says DART president and CEO Nadine S. Lee in a statement. “It reflects our belief in being a collaborative partner in shaping communities that are both transit-friendly and economically vibrant.”

Tax increment reinvestment zones, also known as TIF Districts, are an economic development tool used by municipalities to reinvest tax revenue to fund infrastructure and revitalization projects in designated areas.

In a statement, Richardson city manager Don Magner says that DART's participation in their TIRZ "will empower us to be more creative when competing for new developments and attracting new business to our community. We look forward to partnering with DART to strengthen and grow our economy and appreciate their willingness to engage on this important initiative.”