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. One tax abatement approved in FY2017, became effective during FY 2020. At the end of FY 2020, the City had seven 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 17 active economic development agreements, which have helped to create or retain 618 jobs in the City in FY 2020. 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||Property Tax (General Fund)||Sales Tax (General Fund)||GEDC|
|4321 N I-35||Renovation/ Increase in Value of Facility||$23,500,000||FY 2020||FY 2030||$2,000,000||✔|
|Adjacent to I-35||Build Solar Generation Facility||$7,500,000||FY 2018||FY 2027||$215,000||✔|
|First State Bank||I-35 & HWY 82||HQ & Operations Center||$18,000,000||FY 2019||FY 2028||$1,142,000||✔|
|Orison Holdings||400 S Culberson||Apartment Complex||$16,000,000||FY 2018||FY 2027||$857,000||✔|
|1401 Load Master||Expand Manufacturing Facility||$26,000,000||FY 2014||FY 2023||$250,000||✔|
|2600 Airport Dr.||Store Additional Equipment||$100,000,000||FY 2019||FY 2022||$3,525,000||✔|
|1820 I-35||Build Corporate Headquarters||$5,000,000||FY 2012||FY 2021||$247,000||✔|
chapter 380 agreements
|Company (with link to documents)||Location||Summary||Total Estimated Investment||Start||End||Estimated Value of Incentive||Funding Source|
|Property Tax||Sales Tax|
|4321 N I-35||Redevelopment of Facility||$23,500,000||FY 2020||FY 2040||$4,500,000||✔||✔|
|Superior Energy Services||Gainesville, TX||Store Additional Equipment||$10,000,000||FY 2017||FY 2021||$353,000||✔|
|Complete Energy Services||3333 N I-35||Maintain Manufacturing and Increase Sales Function||N/A||FY 2012||FY 2022||$300,000||✔|
|2600 Airport Dr.||Maintain Warehousing, Procurement, and Increase Sales Function||N/A||FY 2012||FY 2021||$1,500,000||✔|
|Select Energy||1820 I-35||Sales Tax Rebate||N/A||FY 2018||FY 2023||$500,000||✔|
EDC 4B Incentives
Company (with link to documents)
Total Estimated Investment
Estimated Value of Incentive
|2600 Airport Dr.||Maintain Warehousing, Procurement, and Sales Functions||N/A||FY 2012||FY 2021||$375,000||✔|
|Dura Line||2406 N I-35|
Capital investment, business expansion & job creation
|$10,000,000||FY 2010||FY 2021||$160,000||✔|
|4321 N I-35||Sales Tax Rebate||$23,500,000||FY 2020||FY 2040||$150,000||✔|
|Select Energy||1820 I-35||Sales Tax Rebate||N/A||FY 2018||FY 2023||$125,000||✔|
|Super Rustic, LLC.||701 E Broadway||New Roof for Building||$562,889||FY 2020||FY 2021||$100,000||✔|
A summary of economic development agreements in effect as of FY2021 is presented below.
City of Gainesville
|Tax Abatement Agreements||Chapter 380|
|EDC 4B |
|Total Number of Agreements||7||5||5|
|Estimated Taxes Abated/Incentive - Year 1 of Agreement||$823,600||$575,600||$472,500|
|Estimated Taxes Abated/Incentive Per Capita-Year 1 of Agreement||$49.02||$34.26||$28.12|
|Estimated Taxes Abated/Incentive - Total Agreement||$8,236,000||$7,153,000||$910,000|
|Number of Jobs Created/Retained||354||318||345|
|Estimated Capital Investment Received||$196 million||$33.5 million||$34.1 million|
View Statement No. 77 of the Governmental Accounting Standards Board (PDF) regarding Tax Abatement Disclosures.
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.