Texas House Bill HB433

Texas 2011 - 82nd Regular

• Filed: 12/15/10
• Out of House Committee: 4/14/11
• Report Pass: 4/7/11

Caption

Relating to qualified manufacturing project zones.

Impact

The bill aims to streamline processes for manufacturers looking to expand or establish new facilities in Texas, which is expected to boost local economies through job creation and investment. Specifically, facilities considered 'qualified manufacturing projects' must create a minimum of 200 new full-time jobs and incur a capital investment of at least $100 million. This has the potential to significantly impact the state’s economy by attracting new businesses and encouraging existing ones to expand their operations.

Summary

House Bill 433 establishes regulations regarding qualified manufacturing project zones in Texas. The bill's purpose is to enhance manufacturing workforce development and promote economic activity by designating certain areas as qualified manufacturing project zones. This designation allows facilities that meet specific criteria, including minimum investment and job creation thresholds, to receive significant sales and use tax refunds related to their operations....

Contention

Some points of contention include the reliance on estimated economic impacts provided by the business entities seeking this designation. Critics may argue that overly optimistic projections could lead to fiscal losses if the anticipated economic benefits do not materialize. Additionally, the bill permits the comptroller to audit these projects to ensure compliance with job creation requirements, raising concerns over potential bureaucratic hurdles for businesses.