San Antonio

Governance Committee

Agenda Items (6)

Council Consideration Request by Councilmembers Ivalis Meza Gonzalez (District 8) and Marina Alderete Gavito (District 7) on the Guajolote Ranch Project. [John Peterek, Assistant City Manager; Bridgett White, Director]

Summary

Councilmembers Ivalis Meza Gonzalez (District 8) and Marina Alderete Gavito (District 7) submitted a Council Consideration Request (CCR) on October 1, 2025, regarding the proposed Guajolote Ranch Project. This is an approximately 1,100-acre residential development in northwest Bexar County, within the City's extraterritorial jurisdiction (ETJ), near Scenic Loop Road and Babcock Road.

The CCR requested:

  • An assessment of potential dangers or impacts on the Edwards and Trinity Aquifers, which supply drinking water to San Antonio and surrounding counties.
  • An evaluation of funding sources for land acquisition, conservation easements, or other protective measures (e.g., Edwards Aquifer Protection Program, bond proceeds).
  • Timely Council briefings on aquifer threats from new development projects.

Responses from the Edwards Aquifer Authority (EAA) and SAWS indicated that while the EAA has no direct jurisdiction over development, SAWS has negotiated nine stringent development controls with the developer (Lennar) in a 2022 Utility Service Agreement. These include setting aside 50% of the project as open space, restricting impervious cover to 30%, requiring advanced nutrient removal and effluent filtration for any wastewater treatment plant (WWTP), and ensuring the WWTP meets all TCEQ standards and is operated by an "A" level operator. SAWS concluded that, with these safeguards and geological conditions, there is no significant risk to San Antonio's drinking water.

The developer submitted a petition for consent to create a Municipal Utility District (MUD) on November 10, 2025. State law requires City Council to consider this petition within 90 days, meaning a decision is needed by the February 5, 2026, City Council meeting. Staff recommends sending this issue directly to the entire City Council rather than a committee to meet this deadline.

Citizen Impact

This project involves a large residential development in a sensitive environmental area. The City's decision on the MUD will impact future development patterns in the ETJ, and the negotiated safeguards aim to protect the quality of San Antonio's drinking water from the Edwards and Trinity Aquifers.

Confidence

high

Council Consideration Request by Councilmember Teri Castillo (District 5) on a Second Chance Fair Hiring Incentive. [Alejandra Lopez, Assistant City Manager; Michael Ramsey, Executive Director Workforce Development]

Summary

Councilmember Teri Castillo (District 5) submitted a Council Consideration Request (CCR) on October 2, 2025, to develop a Second Chance Workforce Initiative and Incentive Program for justice-affected individuals, including those with felony convictions, through an interlocal agreement with Bexar County. The initiative aims to address policy gaps in employment access, noting Texas's high conviction rates and a 34% increase in juvenile felonies in Bexar County.

Key Requests from the CCR:

  • Explore federal grant opportunities (e.g., U.S. Department of Justice) and expand proven models like the Manufacturing Institute’s Second Chance Initiative.
  • Coordinate with Chrysalis Ministries and the Bexar County Reentry Center to identify existing fair chance hiring initiatives and employers.
  • Research best practices for background checks and individualized hiring assessments for City employment, certified contractors, and private industries receiving City tax incentives.
  • Develop additional incentives for apprenticeship, pre-apprenticeship, and boot camp programs providing certifications for justice-impacted individuals.
  • Create incentives for employers supporting rehabilitation, reintegration, and post-employment stabilization services.
  • Ensure the City's legislative agenda supports State and Federal fair chance hiring legislation and collect data on retention of second chance employees.

Legal Considerations: The City must comply with state preemption law (Texas Labor Code) and cannot regulate a vendor's employment practices. Staff recommends referring this item to the Economic and Workforce Development Committee for review and evaluation of best practices and incentives, and to engage Bexar County staff to determine their interest in a joint program.

Citizen Impact

This initiative aims to expand employment opportunities for justice-impacted residents across San Antonio, potentially reducing recidivism and fostering economic stability for individuals and families. It could also encourage more local businesses to adopt fair hiring practices.

Confidence

high

Council Consideration Request by Councilmembers Teri Castillo (District 5) and Edward Mungia (District 4) on a formal Community Benefits Agreement Policy (CBA). [Alejandra Lopez, Assistant City Manager; Brenda Hicks-Sorensen, Economic Development Department]

Summary

Councilmembers Teri Castillo (District 5) and Edward Mungia (District 4) have submitted a Council Consideration Request (CCR) to develop a formal Community Benefits Agreement (CBA) policy for all discretionary projects where the City of San Antonio (COSA) provides incentives. The goal is to ensure public resources are invested ethically, produce tangible community development, and address impacts like property tax pressures and displacement.

Key Principles Requested for CBAs:

  • Negotiated between project developers and inclusive community/labor coalitions before COSA incentives are awarded.
  • Legally enforceable with clear metrics, timelines, transparency, and reporting processes.
  • Assign roles and responsibilities for compliance and non-compliance.
  • Transparent, inclusive, and accessible, providing specific, meaningful benefits (e.g., affordable housing, living-wage jobs, parks, workforce development).

While COSA currently encourages community benefits through its Tax Increment Reinvestment Zone (TIRZ) Policy and Economic Development Incentive Policy (requiring 10% reinvestment for employee support), staff recommends further study. CBAs will be incorporated into the 2026 revision of the Economic Development Strategic Framework, with preliminary findings expected in Spring 2026 and a final review in Summer 2026.

Citizen Impact

This proposed policy aims to give residents a direct voice in shaping large development projects that receive public incentives, potentially leading to more affordable housing, better-paying jobs, and community amenities like parks. It seeks to ensure that public tax dollars directly benefit the community and mitigate negative impacts like displacement.

Confidence

high

Council Consideration Request by Councilmember Teri Castillo (District 5) on Vacant & Nuisance Property Program and Policy Enhancements. [John Peterek, Assistance City Manager; Shanon Shea Miller, Director, Office of Historic Preservation; Veronica Garcia, Director, Neighborhood and Housing Services Department; Amin Tohmaz, Director, Development Services Department]

Summary

Councilmember Teri Castillo (District 5), co-signed by four other councilmembers, submitted a request to enhance policies addressing over 11,000 vacant and nuisance residential and commercial properties citywide. These properties create significant quality-of-life and safety issues, burdening city services.

The request proposes several policy enhancements, including:

  • Exploring an Interlocal Agreement (ILA) with Bexar County to accelerate liens on nuisance properties.
  • Increasing efforts to register vacant properties and requiring owners to submit Vacant Structure Maintenance Plans.
  • Investigating Texas Hazardous Properties Receivership programs.
  • Evaluating a sliding scale vacant property fee that increases over time.
  • Using Housing Bond funds to acquire properties for affordable housing or small businesses.

Staff analysis indicates that while some proposals, like a sliding scale fee and receivership programs (authorized under Chapter 214 of the Texas Local Government Code), are legally viable, expanding the current Vacant Building Program would require additional staffing resources. The current program already includes maintenance plan requirements and has a new dedicated Code Enforcement Officer.

Staff recommends referring the item to the Planning and Community Development Committee for further review and pausing some program enhancements (related to registration and maintenance plans) until the impact of the new Code Enforcement Officer (funded in FY26 Budget) can be evaluated.

Citizen Impact

These policy enhancements aim to improve neighborhood safety and quality of life by reducing blight from vacant properties. If implemented, they could lead to more vacant properties being returned to productive use, potentially creating affordable housing or small business opportunities in affected areas.

Confidence

high

Council Consideration Request by Councilmember Teri Castillo (District 5) on City County Ad Hoc Committee for Diversion & Recovery Center. [María Villagómez, Deputy City Manager; William McManus, Police Chief, Police Department]

Summary

Councilmember Teri Castillo (District 5) has requested the creation of a joint City and County Ad Hoc Committee to explore establishing a Mental Health and Intellectual Developmental Disabilities (IDD) Diversion Center for Bexar County. This initiative aims to provide alternatives to incarceration for individuals with mental health or IDD conditions, addressing the high number of such detainees in the county jail and the limited capacity of state hospitals. The proposed committee would identify necessary infrastructure, staffing, and procedural changes, ensuring shared governance, and review recommendations from Dr. Alexander Testa’s 2025 Bexar County Justice Intake & Assessment Annex Evaluation Study. The request cites successful models like Harris County's program, which has diverted over 10,000 detainees since 2018. City staff recommends referring this item to the Public Safety Committee for initial discussions.

Citizen Impact

This proposal seeks to create a committee to plan for a diversion center, which could lead to improved public safety and better health outcomes for residents by offering specialized care and alternatives to incarceration for individuals with mental health or IDD conditions. It aims to reduce the strain on the county jail system.

Confidence

high

Council Consideration Request by Councilmember Ric Galvan (District 6) on Data Center Response Planning and Policy. [John Peterek, Assistant City Manager; Amin Tohmaz, Director, Development Services]

Summary

Councilmember Ric Galvan (District 6) initiated a Council Consideration Request (CCR) on October 29, 2025, to address the rapid growth of data centers in San Antonio and their impact on city resources. The CCR highlights that data centers, particularly in District 6, pose significant challenges to the electric grid and natural resources. For instance, an average mid-sized data center uses 300,000 gallons of water daily, and Texas data center water consumption could rise to 399 billion gallons (7% of total state use) by 2030, with electricity demand potentially increasing by 360% by 2035.

The request directs city staff, led by the Development Services Department (DSD) in coordination with San Antonio Water System (SAWS) and City Public Service (CPS Energy), to:

  • Provide an overview of the City's authority to regulate data centers through zoning, permitting, and local ordinances, especially concerning water, power use, and impervious cover.
  • Review relevant state laws and regulations.
  • Explore potential amendments to Chapter 35: Unified Development Code to introduce special use authorizations and mitigation strategies for noise, water, and energy use.
  • Explore partnerships with local research institutions, data center entities, and utilities to track resource needs.

Staff recommends the Governance Committee initiate this review process. The proposed next steps include compiling regulations, engaging stakeholders, assessing code changes, and presenting recommendations to the Planning and Community Development Committee.

Citizen Impact

The growth of data centers could significantly strain San Antonio's water and electricity resources, potentially impacting utility costs and availability for residents. This initiative aims to proactively develop policies and regulations to mitigate these impacts and ensure sustainable resource management for the city.

Confidence

high