From the Handbook of Texas Online:
Originally Posted by FoUTASportscaster
SHADY SHORES, TEXAS. Shady Shores is on U.S. Highway 77 (Interstate 35 East) near the shoreline of Lewisville Lake seven miles southeast of Denton in Denton County. It was incorporated in October 1960. The community's population increased from 543 in 1970 to 813 in 1980. The increase was, in part, a result of the economic development of the area between Dallas and Denton. In 1990 the population was 1,045.We don't know what's going on behind the scenes, but I suspect that the town is acting in its enlightened self-interest by negotiating to start early bus service to Carrollton.
Take a look at the map from NCTCOG. Shady Shores looks like a nice little place, but it lacks one important thing: a connection to I-35E. So there's no opportunity to generate sales tax with a quickie-mart on the Interstate -- in fact, a quick look at the Google aerial view shows little in the way of retail at all. I can't find so much as a bait shop, though I'd have to drive up there to see what Shady Shores is really like. I suspect much of the community's sales tax comes from aviation fuel -- there's a small airstrip on the north side of the town (take Shady Shores Road to Hidden Valley Road).
So the town can give up a half-penny of sales tax, because there's not much in the way of sales tax in the first place. But in return, they get something pretty cool... the first Park and Ride lot from Denton County to Carrollton. Say they get DCTA to pave some of that currently empty land where the city limits are close to I-35E, and then say someone builds that missing quickie-mart next to it. Any revenue the town would have lost from the DCTA sales tax bite will be more than made up for in sales of Pepsi and Pork Rinds to hungry commuters.
Very shrewd move. I need to drive up there some day at lunch and check the place out.