The Dallas Area Rapid Transit (DART) board Friday greenlit a plan that could return some sales tax dollars to member cities in an effort to persuade cities — including Highland Park and University Park — to call off their withdrawal elections.
The plan approved Friday would see the transit agency return sales taxes to the 13 member cities starting at 5% of annual sales tax collections in fiscal year 2026 and gradually rising by 0.5% starting in year two to a maximum of 7.5% over a span of six years.
The cities that approve the funding plan would use the money for projects that support local mobility needs, according to the agenda packet. The Regional Transportation Council agreed to match a portion of the funds DART would return to cities in the amount of $75 million over the six-year period.
At least one DART board member warned the plan may still lead to service cuts.
“This is not going to change anything,” DART board member Enrique MacGregor said. “This is only going to put a Band-Aid on the problems that cities have. But it is going to hurt DART and the region significantly because there will necessarily be a reduction in service for the entire region.”
Other DART board members, like Anthony Ricciardelli, who represents Plano, said they don’t believe the funding agreement went far enough for member cities, but appreciate the transit agency extending the offer to them.
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“I think this deal is very favorable for DART and for its riders, so it’s a no-brainer that DART should make this offer to cities,” Ricciardelli said. Even if the pull-out elections are canceled, our work is not done. If we pass this deal and the member cities accept it, we still have a long way to go to create a regional transit system that works for everyone.”
Ricciardelli also disputed that the deal would necessitate service cuts.
The DART board’s approval comes as some member cities, including University Park, Highland Park, Plano, Irving, Farmers Branch, and Addison have all decided to put the question of DART membership to voters.
In hopes of assuaging them, the Dallas City Council has greenlit giving up its majority control of the DART board for the first time in the transit agency’s history. Some of the cities that have called special elections on DART membership, including Plano, Farmers Branch, and Irving, have since voted to call their withdrawal elections off, as the Dallas Morning News reported.
Highland Park and University Park both plan to continue with their plans for May withdrawal elections, as does Addison.
“Through its review, the Town Council evaluated DART membership, including the financial commitment required of Highland Park and the level of service provided in return. DART’s annual budget is approximately $1.7 billion. As a member, the Town is required to allocate one percent of its local sales tax to DART. That amount represents approximately half of the local sales tax revenue Highland Park is authorized to collect and exceeds $8 million annually. The Town’s contribution accounts for less than one half of one percent of DART’s total annual budget. Total contributions from Highland Park to DART since joining the system exceed $114 million,” a statement from the town read. “Highland Park remains committed to regional cooperation. Discussions with DART regarding the value of transit services and the Town’s overall sales tax contribution are ongoing. A May election is planned in which voters will decide whether continued participation in DART aligns with community priorities.”
“The City of University Park continues to engage in ongoing discussions with DART regarding the value of transit services within the community and the City’s overall sales tax contribution. At this time, the City plans to move forward with a May election, allowing voters to determine the best path forward for our community,” a statement from a University Park spokesperson read.
