How much property tax does Leander pay back to developers?

In short

• The city paid back about $5.0 million in property taxes under growth deals in fiscal 2025 (our math).¹²
• The largest part, about $3.6 million, went to three water districts in Travis County. The money pays for public works that the city will own.¹
• About $1.2 million went to the city’s tax increment zone deals, and about $0.2 million to “380” deals.¹

Numbers marked “our math” are our estimates, not official figures. The notes show the inputs and the steps.

How it works

• Tax increment zone deals: a builder puts in roads or pipes inside the zone. The city later pays the builder back from part of the property tax in the zone.¹
• “380” deals: the city can give public money to bring in business. Some deals pay back property tax only if the business meets set goals.¹
• Water district deals: the city pays back part of the tax it collects in three water districts. That money builds public works that are then handed to the city.¹
• See growth deals explained for more on these tools.

What the numbers show

Type of deal	Property tax paid back
Water district deals (fiscal 2025)	$3,578,245
Tax increment zone deals (fiscal 2025)	$1,197,941
”380” deals (fiscal 2025; see below)	$214,135
All three (our math)	$4,990,321

Source: the city’s fiscal 2025 annual financial report, Note 11.¹²

• Water district deals are about 72% of the total (our math).²
• The report labels the “380” amount “fiscal year 2024,” but it is a fiscal 2025 figure. The same report lists three “380” deals with property tax paid back in fiscal 2025, and they add up to exactly $214,135. The fiscal 2024 report gave a different 2024 amount, $171,153.¹³²

The other side

• The city says builders are paid only after work is done. Zone payments start after the city accepts the work and its engineer checks the cost.¹
• Some “380” payments depend on results. If the goal is not met, the report says the payment is not made.¹
• This page does not judge whether the deals paid off. The report does not show what the city would have collected without them.¹

What you can do or watch next

• Watch City Council agendas for new or changed growth deals.

Questions to ask

• How long will the water district payments last, and how much is left to pay?

What we still don’t know

• How much each zone deal and each water district received. The report gives amounts for each “380” deal, but only totals for the others.
• How these totals have changed over time. This page shows one year.

Changes to this page

• Nov. 2, 2026: First draft.
• Nov. 2, 2026: We checked the year on the “380” amount. The report’s label is a typo; the amount is for fiscal 2025.

Footnotes

1. City of Leander, Texas, Annual Financial Report for fiscal 2025, Note 11, “Tax Abatements,” p.73: TIRZ Reimbursement Agreements under Chapter 311, Tax Code; “For fiscal year 2025, the city rebated $1,197,941 in property taxes for TIRZ projects”; Chapter 380, Local Government Code agreements, “For fiscal year 2024, the city rebated $214,135 in property taxes for 380 development projects” (year label appears to be a typo; see our math); the same report’s Note 10, “Commitments and Contingencies,” lists fiscal 2025 rebates under three 380 agreements of $43,740, $156,206 and $14,189 (pp.70-71); Facilities Agreements with Travis County Municipal Utility District No. 19, No. 20 and No. 21, “For fiscal year 2025, the city rebated $3,578,245 in Property Taxes.” ↩ ↩² ↩³ ↩⁴ ↩⁵ ↩⁶ ↩⁷ ↩⁸ ↩⁹ ↩¹⁰ ↩¹¹

2. Our math. Same report: 3,578,245 + 1,197,941 + 214,135 = 4,990,321. 3,578,245 ÷ 4,990,321 = 71.7%. 43,740 + 156,206 + 14,189 = 214,135. ↩ ↩² ↩³ ↩⁴

3. City of Leander, Texas, Annual Financial Report for fiscal 2024, Note 11, “Tax Abatements”: “For fiscal year 2024, the city rebated $171,153 in property taxes for 380 development projects.” ↩