Nacogdoches council approves Chapter 380 deal to reopen ICON Cinema

The Nacogdoches City Council on May 20 approved a Chapter 380 economic development agreement to support renovation of the former AMC theater at 3801 North Street into an ICON Cinema location. The resolution passed unanimously after staff and company representatives described the planned investment and job creation.

City attorney Jerry Baker told the council the agreement uses Chapter 380 of the Texas Local Government Code to allow limited public incentives for local economic development and said the proposal sets standard developer requirements and compliance steps. Mary Frances Bradford, interim executive director of economic development, said ICON intends to invest in renovations and plans to hire up to 20 employees, including part-time positions for students. Bradford said the company requested a 10-year, sliding-scale sales-tax rebate and up to $50,000 in reimbursements for work to bring the building into ADA compliance and to update its fire-alarm system, with those reimbursements funded from the city’s economic development general fund.

Bradford summarized the rebate schedule presented to the council: 100% of eligible city sales tax rebated in years 1–3, 75% in years 4–5 and 50% in years 6–10. She said the agreement requires ICON to provide receipts and proof of payment within 90 days after issuance of the certificate of occupancy to document eligible expenditures and qualify for reimbursements. Bradford also said the property owner must continue to pay ad valorem taxes as required by law.

Stetson Snell, introduced by staff as ICON’s CEO, described plans for “100% electric recliner chairs,” upgraded audio and projection, new concessions and other interior renovations intended to deliver a premium experience. “We’re basically taking it down to the studs and starting from there,” he said, saying ICON hopes to complete planning and begin renovations within about 60 days of approval and open within roughly a year.

A council member moved to approve the resolution as presented; the motion carried unanimously. Next steps outlined by staff include contract execution, submittal of construction documentation after the certificate of occupancy, and the city’s receipt of compliance reports per the Chapter 380 terms.