CALL TO ACTION!
PLEASE CALL YOUR STATE REPRESENTATIVE TODAY AND URGE THEIR SUPPORT
FOR HB 1556!
Texas Economic Development Act
Extension & Reform
Chapter 313 is the most important economic development tool for Texas to attract new chemical industry investment to our state. Texas has the 4th highest property tax rate in the U.S. and Chapter 313 agreements provide a temporary tax limitation to allow capital intensive projects to be built and start manufacturing before coming onto the tax rolls at full value. Chapter 313 agreements must be approved by school districts and certified by the State Comptroller that the project would not be possible in Texas without a Chapter 313 incentive.
According to the State Comptroller, the Chapter 313 Agreements are responsible for over $217 billion in investment in our state, with another $35 billion set to come onto the tax rolls by 2028. School districts and the state start to receive new property tax revenue immediately from these investments and these projects stimulate our local economy by creating new high paying jobs, new housing starts, new retail development, and infrastructure improvements.
The following provisions in HB 1556 have been AGREED-TO by industry and school districts:
- Extends Chapter 313 for 10 years
- Provides predictability for new business investment
- Maintains current law for taxable value, investment thresholds, and full payment of debt service (I&S) taxes
- Maintains application process with school districts with a $50,000 application fee
- Maintains job creation requirements for all projects
- Provides eligibility for qualifying modernization projects to retain Texas investments and jobs
- Replaces supplemental and revenue protection payments with a single stabilization payment to school districts up to 38% of the value of the total tax savings of the project
- Protects existing Chapter 313 agreements
Please contact your State Representative and urge their support for HB 1556 by Rep. Murphy.
To view the pdf with supporting organizations, please click here.
To find your State Representative and their contact information, click below:
Who Represents Me – Find Your State Representative.
If you have any questions, please don’t hesitate to call or email Chris Noonan, Director of Government Affairs, at (512) 646-6407 or Noonan@TexasChemistry.org