Earlier this month, North Texas real estate developer Hillwood announced it had on 3,200 acres in Denton. The company plans to break ground in September with 700 homes in a residential mixed-use development called Landmark.
鈥淭he Landmark project represents progress in our commitment to sustainable growth, which will bring vibrant living and recreational spaces to the City of Denton,鈥� Mayor Gerard Hudspeth said in a July 18 news release from Hillwood. 鈥淚 look forward to seeing this dynamic community come to life, driving economic development and creating a thriving environment.鈥�
What people probably don鈥檛 realize is that several senior-level executives from Hillwood 鈥� its president, four senior vice presidents and five vice presidents 鈥� have donated between $500 and $1,000 to Hudspeth鈥檚 campaigns since 2020 for a total of $7,500, according to campaign filings.
鈥淲hen it comes to Hillwood, it is a large corporation, and I would ask you NOT to assume and arbitrarily link an individual donor with a corporation just to fit a narrative (they are NOT a union or organized organization),鈥� Hudspeth wrote in a Thursday afternoon email to the Denton Record-Chronicle. 鈥淚ndividuals are just that and can support who they want without it being made something it is not.鈥�
Hudspeth isn鈥檛 the only Denton City Council candidate to receive donations from those connected to companies with active development projects in the area. Such donations also recently appeared in council member Brandon Chase McGee鈥檚 2024 campaign reports.
The city鈥檚 Board of Ethics tried to address the issue two years ago, when board members discussed tweaking the conflict of interest definition to include recipients who received $500 or more in campaign contributions because of undermining public trust. However, the on broadening the definition and removing the percentages of ownership and $600 minimum 鈥� as well as the pending matter and burden of proof, which requires an ethics complainant to act as a prosecutor.
鈥淵ou raise the exact issue/reason why our current code is unworkable and, yes, unethical,鈥� David Zoltner, an ethics board member, wrote in a Wednesday morning email to the Denton Record-Chronicle.
Though the Board of Ethics hasn鈥檛 been successful in addressing it, a 鈥渟olicitation ban鈥� via an ordinance passed by council would help address the issue.
A solicitation ban keeps elected officials from accepting or soliciting donations from those developers or their 鈥減rincipals鈥� (i.e., executives and those who represent the development interests) with active business at the city or the council.
Dozens of state legislatures and several cities have implemented the ban, including Cincinnati and Los Angeles, as Steve Goodin, a former interim council member in Cincinnati, .
Passed in 2019, Los Angeles鈥� solicitation ban took effect in June 2022. It prohibits a developer or principal from making campaign contributions to the city attorney, council members or the mayor. It also prohibits them from donating to candidates for one of those offices or a city committee controlled by one of those individuals.
Los Angeles鈥� ordinance defines 鈥減rincipal鈥� as the developer鈥檚 board chair, president, chief executive officer, chief financial officer, chief operating officer or someone who owns 20% interest or is authorized to represent a restricted developer before the planning department for a significant planning entitlement, such as a zoning change or a specific-use permit.
Goodin was behind the solicitation ban that was passed by the Cincinnati City Council in 2021. Three council members were indicted on federal charges, and investigators said all three had asked developers for money.
Three council members were indicted on federal charges, and investigators said all three asked developers for money.
In an email Wednesday, Goodin said that while they couldn鈥檛 legally ban developers from giving money to council members outright, they were on firm ground banning council members from soliciting campaign funds from 鈥渁ctive developers鈥� with projects currently before the city.
鈥淭he central idea is that an 鈥榓ctive developer鈥� is seeking either zoning relief or some other incentive, and that campaign solicitations during this period present a higher risk of appearing to be (or actually being) an illegal quid pro quo transaction,鈥� Goodin said in his email.
鈥淭he ordinance appears to have accomplished what was intended 鈥� to discourage the sort of campaign solicitations which undermine public trust.鈥�
A wish
McGee, who won his second term in May, didn鈥檛 start accepting contributions from developers or those with active projects in the city until the 2024 campaign season, according to campaign filings.
鈥淚 don鈥檛 accept the premise that it is bad to accept campaign contributions from people with whom I have a personal relationship or folks who share a similar vision for Denton,鈥� McGee wrote in a Feb. 10 email. 鈥淚n this country, we believe in running elections and those elections cost money to run in. Unfortunately, I鈥檓 not wealthy enough to self finance my campaign. Believe me, I wish I was.
鈥淭ruth is, I鈥檓 a regular working man like the majority of Dentonites.鈥�
In his 2024 campaign filings, McGee didn鈥檛 report donations from development political action committees but did show nearly $20,000 in donations from individual developers and their principals, some of whom are connected to T. Wilson & Associates. The real estate consulting firm has a zoning change request on Corbin Road tentatively slated for the Aug. 14 meeting of the Planning and Zoning Commission. Those donations totaled $5,861, according to campaign filings.
The consultant is seeking a zoning change from rural residential R2 to multifamily on two plats, one 26 acres and the other 166 acres, mostly in a floodplain in a rural residential neighborhood.
In southwest Denton, Corbin Road goes from Bonnie Brae Street to the industrial area on Denton鈥檚 west side, but is closed to vehicle traffic underneath Interstate 35E.
Kirk Wilson, the president of T. Wilson & Associates and a former Denton County judge and commissioner, has been attending the Denia Area Community Group鈥檚 neighborhood meetings about the potential multifamily project.
T. Wilson鈥檚 reads: 鈥�...Both our senior partners have served in public office and has an intimate understanding of how government works and what motivates them to get deals done. We have strong relationships with mayors, council members, city managers and senior level staff, as well as consultants in many Texas cities and towns.鈥�
Wilson also has other active projects, such as in the Hartlee Field area. He couldn鈥檛 be reached for comment by the Friday afternoon print deadline.
For Corbin Road, the rezoning will need a supermajority vote from the City Council because it has received opposition from the owners of at least 20% of the land area within 200 feet of the project.
鈥淎s of today, the opposition for PD23-0001 [the multifamily project] looks to be 38.76%,鈥� Angie Manglaris, the city鈥檚 development review manger, wrote in an early July email to Kyle Eaton, who attends the Denia group鈥檚 meetings and lives directly across the street from the property.
Eaton said that Scott McDonald from Development Services told him at a recent neighborhood meeting that the city is overwhelmed with development projects.
鈥淲e don鈥檛 know what is going on behind the scenes,鈥� Eaton said. 鈥淧ersonally, I would prefer that council members don鈥檛 take those campaign contributions, and if you are talking with constituents and you take money from them, then be up front and let people know. That is always on the back of their minds.鈥�
Former Mayor Chris Watts, who lives near Corbin Road, questioned how many meetings McGee had with the developer prior to accepting the donations in November 2023 and how many were had after the donations.
鈥淚 hope in the spirit of full transparency, Council member McGee will fully disclose the relationship he has with anyone associated with the Corbin Road project,鈥� Watts wrote in a Thursday afternoon email. 鈥淭he optics of Council member McGee receiving approximately half of his 2024 campaign contributions from those with a direct interest or are associated with those who do, for [the Corbin Road] project that has been working through the city for a year or so are not good.鈥�
Friends in high places
Some of McGee鈥檚 contributors have also appeared in Hudspeth鈥檚 campaign fillings over the years. Those contributors include Roy Magno ($1,000) with T. Wilson & Associates.
鈥淩oy Magno is a friend and a former Mayor (of Aubrey),鈥� Hudspeth wrote in a Thursday afternoon email. 鈥淗e works with Kirk Wilson 鈥� but I object to you aligning employees with ownership.鈥�
Wilson鈥檚 name also appears on Hudspeth鈥檚 campaign filings for $6,000 in donations over the past few years.
Wilson works with North Texas housing industry giants such as Rex Glendenning and Mehrdad Moayedi, both of whom have projects in the area and donated $2,500 and $3,000, respectively, according to Hudspeth鈥檚 campaign filings.
In Hudspeth鈥檚 2024 filings, seven executives from Hillwood donated $4,000 total. One of those executives, Andrew Pieper, is also the former president of the Dallas Builders Association, according to representative from Hillwood.
鈥淗illwood has been a committed landowner in Denton County for over 30 years,鈥� James Fuller from Hillwood wrote in a Friday afternoon email. 鈥淥ur employees actively engage in civic and philanthropic activities throughout the communities we serve, including supporting local leaders and candidates for political office. Hillwood also has a long history of providing philanthropic support in Denton County, including donating land and resources to the Denton Independent School District and other worthy causes.鈥�
The Dallas Builders Association鈥檚 along with the Apartment Association of Greater Dallas (AAGD) and the Texas Association of Realtors鈥� political action committee (TREPAC) have donated $50,298 in total campaign contributions since 2020 when Hudspeth first sought the mayor seat, according to campaign filings.
Hudspeth told the Record-Chronicle in that he had the 鈥渞equisite balance of property versus public health versus growth, and I have shown the ability to balance those interests and not focus on my own ideology.鈥�
TREPAC and AAGD also donated $8,000 total to Erica Garland鈥檚 campaign challenging McGee in May鈥檚 municipal election, according to campaign filings.
In a Wednesday email, Hudspeth questioned mentioning the PACs. For example, TREPAC and HB Greater Dallas 鈥渁re interested in residential markets and typically support candidates who favor low taxes and pro-business mindset. They do not get involved in individual development deals,鈥� Hudspeth wrote in a Wednesday email.
鈥淕reater Apartments is an association of Apartment managers, not builders,鈥� he said.
According to the , AAGD represents the multifamily industry in 11 counties, representing apartment properties, management companies, rental property owners and companies that supply the industry.
There are currently 28 multifamily projects in development in Denton, according to the city鈥檚 .
Public trust
For neighbors facing multifamily developments near floodplains along Corbin Road and the North Lakes neighborhood, avoiding what happened to those who opposed apartments near Hartlee Field area is what they desire. Their hope is that a council majority will actually hear their concerns and protect their neighborhoods.
Gayle Sulik and Keith Ketchersid from the North Lakes Preservation Group, which due to the threat of multifamily development, said they鈥檙e building their network and working to form a coalition with other neighborhood groups, including those Hartlee Field in northeast Denton and Corbin Road in south Denton.
鈥淥ur goal is to not only hold developers accountable but hold the city accountable,鈥� Sulik said.
Holding the city accountable could also include implementing a requirement for developers to give at least a 10-day advance notice of a neighborhood meeting so that neighbors can actually attend.
Sulik said she didn鈥檛 get her mailed notice of a neighborhood meeting with the developer in North Lakes until an hour before the meeting on Monday.
They were still able to get 60 people to attend despite the short notice, though Sulik said people 鈥渨ere furious.鈥�
That project鈥檚 specific-use permit will come before the Planning and Zoning Committee tentatively on Aug. 28.
鈥淚 argue that the property owner has the right to develop that is consistent with the goals of the border community,鈥� Sulik said. 鈥淚ndividual property owners鈥� rights should not override the rights of the collection of individuals.鈥�
Sulik said McGee has been transparent about receiving developer contributions.
鈥淗e said unequivocally to us that it wouldn鈥檛 affect his vote,鈥� Sulik said.
Ketchersid reiterated Sulik鈥檚 claim.
鈥淚鈥檝e heard him say that several times, that campaigns cost money and you need money, but a developer shouldn鈥檛 be able to buy a vote,鈥� Ketchersid said.
They didn鈥檛 realize McGee also gave direction for city staff to move forward with a plan that will eventually allow multifamily housing in the Hartlee Field area if the zoning change requests are approved.
Staff will look at the area plan to determine the future land-use designation and recommend the zoning change to planning and zoning, which, in turn, will recommend it to the council if it also meets the other requirements.
In a Wednesday email, McGee said he was proud of his voting record that he said shows he puts the 鈥渋nterests of regular working people first.鈥�
鈥淣o donor has ever asked me to vote in any specific way,鈥� McGee said in his email. 鈥淏ased on my experience, people donate money because they believe in the candidate and/or they share a similar vision for the district or city. In my case, I personally know almost all of my donors and I鈥檓 thankful that they believe in regular working people being able to serve the community.鈥�
Hudspeth reiterated McGee鈥檚 point in a Thursday afternoon email, pointing out that donors to his campaign agree with his positions such as lower taxes on residents and the need to attract high-quality businesses to lower the burden on homeowners.
鈥淪ome developers have supported me because I support excellent developments that improve the lives of the people of Denton,鈥� Hudspeth wrote, reiterating that he has won election as mayor for three terms now.
鈥淟ast week, Kamala Harris raised $200 million over two days. On a per-resident basis, that is more than all three of my campaigns combined. And that was just two days of one campaign compared to my three campaigns over five years. Nobody is doubting that those donors gave the money because they agree with her positions.鈥�