By Fox23.com News Staff
TULSA, Okla. — Tulsa City Council members are considering several major economic development decisions this week, including a new investment in the OKPOP Museum, closing out two tax increment financing districts, and moving forward with plans for possible new TIF districts in southeast Tulsa.
The decisions all center around one question: where is the city’s money going, and how will future growth be funded?
During the Urban and Economic Development Committee meeting Wednesday, councilors advanced a proposal to provide $1 million in additional funding for the OKPOP Museum.
The money would come from the city’s Pandemic Relief Recovery Fund through a budget amendment. The funding for OKPOP was originally approved in November 2021 using federal ARPA dollars, but this amendment would transfer that allocation to the city’s Pandemic Relief Recovery Fund.
City documents describe the item as:
- An ordinance amending the fiscal year 2026-2027 budget to make supplemental appropriations of $1 million from the unappropriated fund balance within the Pandemic Relief Recovery Fund for the OKPOP Museum.
The museum is still under development and is expected to open in 2028.
OKPOP representatives told council members the project is still in the planning and development phase, with additional construction work expected to begin in 2027.
The additional city funding comes after OKPOP secured $18 million in private fundraising, along with matching state funds.
City leaders said the funding does not come from a new tax increase, but from existing pandemic relief funds the city had available.
Council members are also moving to dissolve a tax increment financing district created nearly a decade ago for a proposed development that never happened.
The Admiral Place TIF district was created in 2015 to help support a planned regional outlet mall.
That outlet mall was never built in Tulsa and instead was later developed in Jenks.
According to city documents, the project costs were never incurred and no sales tax increment was ever collected.
District 6 Councilor Christian Bengel said the city has been seeing no activity from the district for years.
“We’ve been reporting zero increment on this for almost a decade now,” Bengel said. “I said I’m tired of this thing collecting birthdays.”
Because the project never moved forward, the city is now closing the district.
Council members are also dissolving a separate downtown tax increment financing district.
Unlike the Admiral Place district, city officials say this one achieved its purpose.
The city says the district collected enough revenue to cover the authorized project costs, meaning the special financing mechanism is no longer needed.
A city planning representative explained:
“We are dissolving it because it collected sufficient funds to meet their project demands, as per the project plan. So, we’re done.”
Dissolving a TIF district does not lower taxes. Instead, future tax revenue generated in the area will return to the normal distribution process.
While two TIF districts are being closed, Tulsa is also beginning the process of considering two new ones.
The proposed areas include:
- Near 51st Street South, Mingo Road, 61st Street South, and Sheridan Road
- Near 71st Street South and U.S. 169, as well as areas west of Mingo Road between 81st and 91st Streets
The council is not creating those districts yet.
Instead, the city is starting the process of studying whether those areas qualify and what potential projects could be supported.
A TIF does not create a new tax.
Instead, it allows future growth in tax revenue from an area to be directed toward approved improvements, such as infrastructure or economic development projects.
The council is also considering whether to send a proposed hotel tax increase to voters.
The proposal would increase Tulsa’s hotel occupancy tax from 5% to 9.9%, with voter approval required.
If approved by council, Tulsa voters would decide the issue during a special election in November.
Supporters say the additional revenue could help fund improvements to major tourism and entertainment facilities, including projects connected to the BOK Center and Cox Business Center.
What do you think?
Tulsa City Council is making decisions on millions of dollars in city investments and future economic development plans.
FOX23 is asking viewers:
- How would you spend $1 million in pandemic relief funds?
- Do you think city funding is going to the right places?
Share your thoughts by clicking here.
