Successful businesses help create a healthy community. In addition to maintaining a favorable tax environment, the economic development partnership between the City of Round Rock and the Round Rock Chamber offers customized incentive packages to make relocation and expansion as easy and cost-effective as possible. Assistance can include tax abatements, fee waivers, job training, permit fast-tracking, and more.
The following outlines provide a few examples of the components that a chamber-prepared incentive proposal could include:
Tax Abatement Programs for Real or Personal Property
The City of Round Rock offers tax abatements for new business construction and existing industry expansions, as well as personal property tax abatements associated with real property. Any additions/alterations to the facility and/or equipment that add new taxable value are eligible improvements to be considered for tax abatement.
Chapter 380 Financing
Chapter 380 of the Local Government Code provides legislative authority for Texas municipalities to provide a grant or a loan of city funds or services in order to promote economic development. The City of Round Rock may offer a Chapter 380 grant in the form of a municipal sales or property tax rebate.
On a case-by-case basis, the Round Rock Chamber and the City of Round Rock can offer performance-based cash grants based on job creation, capital investment, and other factors.
Fast Tracking of Permits
One of the most important incentives is our ability to fast track a project. Local officials are able and willing to customize a development timeline for industries requiring an aggressive schedule. As a result, Round Rock is able to deliver a substantially shorter time to bring a project online than our competitor communities, a big benefit that is difficult to place monetary value on.
Job Training Funds
The Round Rock Chamber will assist companies locating or expanding in Round Rock in securing state-provided job training assistance. The Texas Workforce Commission offers the Skills Development Fund and other training mechanisms to finance customized job training provided by public community and technical colleges. Please see the Job Training Resources page for detailed information.
Capital Grants and Loans
The State of Texas offers a number of grant and loan programs designed to provide companies with capital access and expenditure assistance. The programs include the Texas Capital Access Fund, the Infrastructure Grant Program, and the Real Estate Development Program. The chamber will work with new or expanding companies to apply for this assistance.
Texas Enterprise Fund
This “deal-closing” fund was created to bring jobs to Texas by attracting new business and assisting with the substantial expansion of an existing business. It can provide critical funding for selected economic development projects, including infrastructure and community development, job training programs, and business incentives. The review process for eligibility includes: job creation and wages, capital investment, financial strength, business history, relevant business sector, and public- and private-sector financial support. The governor, lieutenant governor, and the speaker of the Texas House of Representatives award this incentive.
Texas Manufacturing Tax Exemption
Texas Manufacturing Tax Exemption: This incentive provides 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. Natural gas/electricity exemptions require a “predominant use study” that shows that at least 50 percent of the electricity or natural gas consumed by the business is used directly in the manufacturing process. Manufacturing exemptions are administered by the State Comptroller of Public Accounts. For information about applying for these exemptions and a full explanation of what is and is not exempt, visit the comptroller’s website.
In addition to the attractive incentive programs mentioned, Round Rock historically has some of the lowest utility costs in Central Texas and offers a competitive business environment.