These cities have paid an incredible price. But the biggest obstacles to drawing new member cities are the varying forms of economic development sales taxes that put them at the state cap. The popularity of the sales taxes has grown since the Legislature first allowed them in 1989. In July 2000, Texas had 441 separate economic development corporations funded by sales tax revenue, up from 336 three years earlier. For outlying cities to join DART, many would first have to hold elections to remove those sales taxes.
Some cities have debt tied to future sales tax revenue.
Mr. Kidwell, the owner of the McKinney company, said it makes more sense for his town to continue using the sales tax for economic development in the near future. Once McKinney attracts enough companies with the tax and DART's system expands to places like Plano, McKinney ought to look at joining the transit agency, he said. There's not enough rail going to enough places right now. There is no support for raising the state's cap on sales tax to allow new cities to join, observers say. That leaves DART with several possibilities.