The following list identifies many of the economic development incentives potentially available. In addition to the local incentives, the Development Corporation of Haskell can assist businesses in gaining the maximum benefit from state, federal, and other government entities incentives programs.
Texas Enterprise Fund
The Texas Enterprise Fund (TEF) is the largest “deal-closing” fund of its kind in the nation. The fund is a cash grant used as a financial incentive tool for projects that offer significant projected job creation and capital investment and where a single Texas site is competing with another viable out-of-state option. Since its inception in 2004, the TEF has awarded over 100 grants totaling more than $500 million across a wide variety of industries and projects. Projects that meet the fund criteria may apply for this incentive in addition to local incentives provided by the city.
Texas Enterprise Zone Program
The Texas Enterprise Zone Program is an economic development tool for local communities to partner with the State of Texas to promote job creation and capital investment in economically distressed areas of the state. Designated projects are eligible to apply for state sales and use tax refunds on qualified expenditures. The level and amount of refund is related to the capital investment and jobs created or retained at the qualified business site.
Manufacturing Exemptions provide state sales and use tax exemptions to taxpayers who manufacture, fabricate or process tangible property for sale. The exemption generally applies to tangible personal property that becomes an ingredient or component of an item manufactured for sale, as well as taxable services performed on a manufactured product to make it more marketable.
A Freeport exemption is a property tax exemption. Freeport property includes goods detained in Texas for 175 days or less before they are transported out of Texas. The exemption applies to goods, wares, ores and merchandise other than oil, gas and petroleum products (defined as liquid and gaseous materials immediately derived from refining petroleum or natural gas) and to aircraft or repair parts used by a certified air carrier. Goods must be in Texas for assembling, storing, manufacturing, repair, maintenance, processing or fabricating purposes. Currently, businesses located in the Abilene Independent School District may utilize this exemption.
Data Center Incentive
Texas is ideally positioned for data center operations. The state is centrally located and has access to talented, experienced high tech workers. A data center exemption applies to state sales and use tax on certain items necessary and essential to the operation of a qualified data center. The exemption is for state sales tax only. Local sales taxes are due on purchases of these qualifying items.