• Local Incentives

  • State Incentives

local incentives for qualifying businesses

We try to help our local businesses by finding assistance.

Waller County offers tax abatement for qualifying businesses. If you plan on applying for tax incentives, YOU MUST APPLY BEFORE YOU BEGIN CONSTRUCTION. Each application for incentives is considered on a case-by-case basis. While not all companies applying for incentives will be successful, the county leadership and the WCEDP will make every attempt to make expanding or relocating as inexpensive as possible.

The first step is to complete an economic impact analysis. Contact us for the form. This service is free. Once the analysis is completed, and the results are favorable, then you will be encouraged to fill out the abatement application. There is a $1000.00 application fee that must be paid at the time the application is submitted to the county. Download the abatement and incentives policies here. When you are ready to complete the economic impact analysis, give us a call at 979-921-9059.

Chapter 381 Development Agreements

In addition, the State of Texas has given counties the flexibility to create specific development agreements often referred to as Chapter 381 agreements. These agreements are usually best suited for larger projects and industrial development. They are negotiated based on the total impact a project has on the community, the overall strength of the project and where the project is located. This tool allows counties to negotiate directly with developers and businesses when necessary. These agreements can take a wide variety of forms and are negotiated based on the specific requirements and project specifications. Generally these agreements help to get projects started much faster than some of the standard legislated solutions such as a MUD district. Call our office for details if you think your project will benefit from this type of agreement.

freeport tax exemptions

The Freeport Tax Exemption is an inventory tax incentive applied to products shipped into and out of the State of Texas within a six-month period. The State of Texas allows counties and cities to raise tax revenue through advisor property tax. This is a challenge to manufacturers that have large inventory costs and companies specializing in distribution of products. For the state and local communities to stay competitive in these qualifying industries, the Texas Legislature has created an exemption to tax on inventory, allowing taxing jurisdictions to institute the Freeport Tax Exemption.

Freeport exemptions are available from all of the cities in Waller County except Katy. It is also available from Waller ISD and Hempstead ISD. If your business can benefit from this program, call our office to help you find a location that offers freeport exemptions.

City Economic Development Programs

In Waller County the cities of Brookshire, Hempstead, Prairie View and Waller offer incentives through the 4A or 4B programs. Many Texas cities impose a special sales tax for economic development purposes called 4A or 4B that are 1/8, 1/4, 3/8, or 1/2 % to finance a wide range of economic development activities. This economic development tool is incredibly powerful and Waller County is fortunate to have almost every city in the county raising those funds. TO qualify for these incentives your project must be located in the city limits, or, in some cases, within the city's ETJ.

state incentive programs & grants

The WCEDP will assist in applying for these programs.

Enterprise Zone

Waller County meets the requirements to be considered an Enterprise Zone. This designation allows us to apply for state assistance for projects creating new jobs.

Participation & Benefits to Participation

Local communities must nominate a company as an Enterprise Project to be eligible to participate in the Enterprise Zone Program. Legislation limits allocations to the state and local communities per biennium. The state accepts applications quarterly with deadlines on the first working day of March, June, September and December.

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 at the qualified business site.

Level of Capital Investment

Maximum number of jobs allocated

Maximum potential refund

Maximum refund per job allocated

$40,000 to $399,999

10

$25,000

$2,500

$400,000 to $999,999

25

$62,500

$2,500

$1,000,000 to $4,999,999

125

$312,500

$2,500

$5,000,000 to $149,999,999

500

$1,250,000

$2,500

Double Jumbo Project
$150,000,000 to $249,999,999

500

$2,500,000

$5,000

Triple Jumbo Project
$250,000,000 or more

500

$3,750,000

$7,500

 

In addition, local communities must offer incentives to participants under the enterprise zone program, such as tax abatement, tax increment financing and one-stop permitting.

Participation Requirements

Communities may nominate projects, for a designation period of not less than one year up to five years, non-inclusive of a 90-day window prior to the application deadline. Employment and capital investment commitments must be incurred and met within this timeframe.

Projects may be physically located in or outside of an Enterprise Zone.
- If located within a zone, the company commits that at least 25% of their new employees will meet economically disadvantaged or enterprise zone residence requirements.
- If located outside of a zone, the company commits that at least 35% of their new employees will meet economically disadvantaged or enterprise zone residency requirements.

- Under limited statutory provisions, an enterprise project designation may be granted for job retention.

If you are considering applying for the Enterprise Zone project designation, we have our partners at PKF Texas to help you through the process. Note: There will be a charge for this service. Call them for details at 713.860.1400 and ask for Tam Vo, or visit their web site.

 

Texas Capital Fund

The Texas Capital Fund (TCF) program is a federal HUD grant and administered by the Texas Department of Agriculture. The TCF program encourages business development, retention, or expansion by providing funds to eligible applicants. Funds will be awarded for the express purpose of assisting in the creation of new permanent jobs or retention of existing permanent jobs, primarily for low and moderate income (LMI) persons. In order to comply with the national goal of expanding economic opportunities for LMI persons, a minimum of 51 percent or more of all the jobs created or retained by the business must benefit persons who qualify as LMI.

These funds are a part of the U. S. Department of Housing and Urban Development's (HUD) Community Development Block Grant (CDBG) program and is known as the Texas Community Development Program (TCDP) in our state. The program is only available to non-entitlement city or county governments. Non-entitlement cities/counties do not receive direct funding from HUD and typically include cities with a population of less than 50,000 and counties of less than 200,000. There are over 1,200 eligible cities and counties in the state. Awarded cities and counties receive funds to make public infrastructure and/or real estate improvements to support a specific business that is expanding or beginning operations in the applicant's jurisdiction and are contingent upon the business making a capital investment and creating/retaining jobs for Texans.