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Economic Development Incentives
The City of Gainesville, Texas is committed to the promotion of high quality development in all parts of the City, and to an ongoing improvement in the quality of life for its citizens. Due to this objective, the City of Gainesville will, on a case by case basis, consider providing tax abatements as a stimulus for development in Gainesville. A policy, any abatement consideration for a development will be provided in accordance with the procedures and criteria of the City’s Tax Abatement Guidelines. At the end of FY 2023, the City had five active tax abatement agreements.
The policy of the City of Gainesville and its component unit, the Gainesville Economic Development Corporation (GEDC) is to encourage new investment and business development through the utilization of grants, performance-based job creation grants, and other redevelopment grants, as authorized by Chapter 380, 501, 504, and 505 of the Texas Local Government Code.
The City and GEDC have 10 active economic development agreements, which have helped to create or retain 471 jobs in the City, not including an additional estimated 375 temporary jobs for construction. For more details on economic development incentives provided by Gainesville and the GEDC please see the City of Gainesville Economic Development Active Incentives tables below.
City of Gainesville Economic Development Active Incentives
Tax Abatement Agreements
| Company (with link to documents) | Location | Summary | Total Estimated Investment | Start | End | Estimated Value of Incentive | Actual Taxes Abated as of FY 2022 | Property Tax (General Fund) | Sales Tax (General Fund) | GEDC |
| Thirty-Five and Liberty, LLC | 4321 and 4323 N I-35 | Renovation and Increase of Value in Facility | $17,000,000 | FY 2024 | FY 2033 | $650,000 | ✔ | |||
| Adjacent to I-35 | Build Solar Generation Facility | $7,500,000 | FY 2018 | FY 2027 | $215,000 | $67,333 | ✔ | |||
| First State Bank | I-35 & HWY 82 | HQ & Operations Center | $18,000,000 | FY 2019 | FY 2028 | $1,142,000 | $167,448 | ✔ | ||
| Orison Holdings | 400 S Culberson | Apartment Complex | $16,000,000 | FY 2018 | FY 2027 | $857,000 | $294,485 | ✔ | ||
| 1401 Load Master | Expand Manufacturing Facility | $26,000,000 | FY 2014 | FY 2023 | $250,000 | $474,625 | ✔ |
Chapter 380 Agreements
| Company (with link to documents) | Location | Summary | Total Estimated Investment | Start | End | Estimated Value of Incentive | Funding Source | ||||
| General Fund | GEDC | ||||||||||
| Property Tax | Sales Tax | Impact Fees/Other | |||||||||
| Lackland Liberty Pointe Development, LLC | Located off Radio Hill Rd. | Development of Abstract No. 44 Cooke County, Texas 289.66 acres | $245,960,000 | FY2023 | FY2033 | $600,000 | ✔ | ||||
| Thirty-Five and Liberty, LLC | 4321 and 4323 N I-35 | Sales Tax Rebate | $17,000,000 | FY 2022 | FY 2032 | $1,250,000 | ✔ | ||||
| Select Energy | 1820 I-35 | Sales Tax Rebate | N/A | FY 2018 | FY 2023 | $500,000 | ✔ | ||||
| Summa Terra Ventures, LLC | Broadway & Radio Hill Rd. | Impact Fee Waiver/Construction of Apartment Complex | $60,000,000 | FY 2022 | FY 2025 | $100,000 |
| ||||
EDC 4B Incentives
Company (with link to documents) | Location | Summary | Total Estimated Investment | Start | End | Estimated Value of Incentive | Funding Source | ||
General Fund | GEDC | ||||||||
Property Tax | Sales Tax | ||||||||
| Select Energy | 1820 I-35 | Sales Tax Rebate | N/A | FY 2018 | FY 2023 | $125,000 | ✔ | ||
A Summary of Economic Development Agreements in Effect as of FY2023 presented below:
City of Gainesville | Tax Abatement Agreements | Chapter 380 Agreements | EDC 4B Incentives |
| Total Number of Agreements | 5 | 4 | 1 |
| Estimated Taxes Abated/Incentive - Year 1 of Agreement | $311,400 | $224,432 | $20,833 |
| Estimated Taxes Abated/Incentive Per Capita-Year 1 of Agreement | $17.73 | $12.78 | $1.19 |
| Estimated Taxes Abated/Incentive - Total Agreement | $3,114,000 | $2,450,000 | $125,000 |
| Number of Jobs Created/Retained | 283 | 198 | 171 |
| Estimated Capital Investment Received | $84.5 million | $323 million | N/A |
Please note the City of Gainesville did not have any tax abatement agreements for the most recently completed fiscal year of 2022, or the prior fiscal year of 2021. Accordingly, for these years, there would be NO or ZERO:
• Estimated taxes abated in year one of agreements in total and per capita;
• Estimated taxes abated for the life of agreements;
• Number of jobs created/retained by agreements to date; and
• Capital investment received for agreements to date.
View the updated Tax Abatement Guidelines and Criteria
View the downloadable data for Economic Development Active Incentives.
View the Texas Comptroller of Public Accounts Economic Development Corporation Reports webpage and search tool.
View Statement No. 77 of the Governmental Accounting Standards Board (PDF) regarding Tax Abatement Disclosures. The City of Gainesville's financial statement disclosure concerning GASB Statement 77 is located on page 75 (footnote J) of the City's Annual Comprehensive Financial Report for the year ended September 30, 2022, or you can view it by clicking this link.
The City of Gainesville also received a star from the Texas Comptroller's Office in the area of Economic Development, which recognizes entities for their outstanding efforts in making information regarding tax abatements and other incentives granted readily available.