The Seguin City Council will consider two significant actions Tuesday involving Canvas, a proposed master-planned community of approximately 1,323 single-family homes on more than 350 acres near State Highway 123 and Friedens Church Road, which is part of a larger canvas development strategy.
The August 4 agenda includes consideration of a General Land Use Plan for the development as well as a zoning change that would establish a Planned Unit Development, or PUD, on portions of the property.
Canvas represents the type of large-scale growth that will have a lasting impact on Seguin. For that reason, the discussion should go beyond simply whether new homes are needed. The larger question is how the development will affect transportation, utilities, infrastructure, surrounding property owners and the overall quality of life of current and future Seguin residents.
This canvas development is poised to transform the area significantly.
A Community of More Than 1,300 Homes
According to city planning and development documents, Canvas is expected to include approximately 1,323 single-family homes when fully developed.
The project also proposes an extensive trail network and significant open-space areas. Planning documents indicate approximately 100 acres could be devoted to parks, trails and open space.
The development proposes several different residential lot sizes, including smaller lots than are traditionally found in many existing Seguin neighborhoods.
That does not necessarily make the project inappropriate. Different housing options can help accommodate a growing population. However, density, drainage, traffic and infrastructure must all be considered together.
Traffic Remains an Important Question
One of the most important issues surrounding a development of this size is transportation.
Canvas will ultimately place additional vehicles onto the SH 123 corridor and surrounding road network, including areas around Friedens Church Road and Link Road.
Project documents contemplate a Traffic Impact Analysis to evaluate roadway capacity and determine what transportation improvements may be required.
For Better Seguin, this is an important part of the discussion.
Growth should not simply add rooftops. Roads, intersections, drainage, utilities, emergency response and other infrastructure must keep pace with the people moving into those homes.
PID and TIRZ Financing Are Also Part of Canvas
The Canvas development agreement approved by the City Council in July anticipates creation of a Public Improvement District, or PID, along with a Tax Increment Reinvestment Zone, or TIRZ.
A PID can be used to finance qualifying public infrastructure serving a development, with assessments placed on property within the district.
The agreement identifies potential infrastructure including roads, drainage, water, wastewater, landscaping and trails.
The agreement also anticipates creation of Reinvestment Zone Number 4, which would work alongside the PID. Under the development agreement, 50 percent of eligible incremental City property-tax revenue generated within the TIRZ is contemplated for the financing structure.
Importantly, these financing mechanisms primarily involve property within the development. Future Canvas homeowners should receive disclosures explaining PID assessments associated with their property.
However, the financing structure is still important to the larger community because the City is a party to these agreements and ultimately has responsibility for making sure public improvements and financial obligations are properly structured.
One Provision Deserves Additional Attention
The Canvas development agreement establishes a maximum Equivalent Tax Rate of $1.304 per $100 of taxable value for purposes of the PID financing structure.
The agreement itself notes that this exceeds the $0.55 maximum referenced in the City’s existing PID policy.
That does not mean existing Seguin homeowners will suddenly pay a $1.304 tax rate for Canvas. The assessment applies within the project.
But the policy exception deserves explanation.
Residents should understand why the higher maximum was considered appropriate, what infrastructure is being financed, how much debt could ultimately be issued and what future homeowners inside Canvas could reasonably expect to pay.
Growth Requires Planning
Better Seguin recognizes that continued growth is coming to our community. New housing is necessary, and well-planned development can expand the tax base, create opportunities for families and support local businesses.
The issue is not simply what gets built — it is how it gets built.
Developments of this size should come with adequate roads, drainage, utilities, emergency services and infrastructure. Residents should also be able to clearly understand any special financing arrangements associated with those developments.
The Seguin City Council meets Tuesday, August 4 at 5:30 p.m. at Seguin City Hall, 210 E. Gonzales Street.
