Relating to the Texas Economic Development Act; imposing a penalty.
Impact
The revisions proposed in HB 3390 have broad implications for local economic policy and property taxation strategies. By establishing a framework for application fees, the bill allows local school districts to better manage the costs associated with processing applications for tax benefits, therefore promoting greater fiscal responsibility. The amendments also emphasize the need for actual job creation tied to the economic development initiatives, potentially resulting in more sustainable growth in the job market.
Summary
House Bill 3390 aims to amend the Texas Economic Development Act to authorize nonrefundable application fees for property owners applying for limitations on property value. The bill is part of an ongoing effort to enhance economic development within Texas by encouraging large-scale capital investments through tax incentives, specifically focused on sectors that are capital-intensive such as manufacturing. By allowing for fees, it seeks to relieve some of the administrative burdens on the state while ensuring the process remains accessible to potential investors.
Contention
While advocates argue that this bill will attract investment and create jobs, there may be contention from some stakeholders regarding the imposition of fees, which could be seen as a barrier to entry, especially for smaller businesses. Critics may argue that additional financial burdens could displace small to medium-sized enterprises in favor of larger corporations that can absorb these costs more easily. Moreover, the balance between local and state interests in economic development remains a point of focus, especially concerning how local districts can maintain their autonomy over such agreements.
Relating to the establishment of the Texas Mircale Act (TMA), allowing for certain fees, authorizing certain ad valorem tax incentives for economic development, specifically certain tax relief from school district taxes for certain corporations and limited liability companies that make large investments that create jobs in this state, to authorizing the imposition of certain fees, and the repeal of Chapter 313 of Texas Tax Code and the Economic Development Act of the 77th Legislature.
Relating to agreements authorizing a limitation on taxable value of certain property to provide for the creation of jobs and the generation of state and local tax revenue; authorizing fees; authorizing penalties.
Relating to the authorization, licensing, and regulation of casino gaming and sports wagering in this state, to the creation, powers, and duties of the Texas Gaming Commission, to the support of the horse racing industry and reform of horse racing and greyhound racing, and to other provisions related to gambling; imposing and authorizing administrative and civil penalties; imposing taxes; imposing and authorizing fees; requiring occupational licenses; creating criminal offenses.
Relating to the development and implementation of the Live Well Texas program to provide health benefit coverage to certain individuals; imposing penalties.
Relating to the provision by the Texas Water Development Board of financial assistance for the development of residential drainage projects in economically distressed areas.
Relating to the development and implementation of the Live Well Texas program and the expansion of Medicaid eligibility to provide health benefit coverage to certain individuals; imposing penalties.
Relating to the development and implementation of the Live Well Texas program and the expansion of Medicaid eligibility to provide health benefit coverage to certain individuals; imposing penalties.