Home Map Center Contact
The Development Corporation of Richmond (DCR) is a type 4B economic development sales tax corporation. The DCR is able to provide cash grants on a case by case basis to eligible companies. Eligibility is determined by several factors including the level of capital investment, number of jobs created, the average wage of the jobs created, and other pertinent factors.
Municipal Grants and/or Loans (380 Agreement)
The City Commission of Richmond may provide loans and grants of city funds as well as city employees and equipment to promote economic development projects within the city. Eligible projects involving significant investment may contract with the City to receive sales tax grants, franchise fee grants, water or sewer line extensions, building permit fee waivers and grants for capital recovery fees.
A project may be eligible for tax abatement if it is a business or manufacturing facility, research facility, distribution center, regional service facility, basic industry, or other facility “deemed essential to the City’s growth.” A project may be eligible for abatement of taxes up to 100 percent and for as long as 10 years, depending upon the amount of expenditure and/or the number of employees. Reinvestment in an existing project or expansion of existing facilities may also be eligible for tax abatement.
Freeport Property Tax Exemption
The Freeport Exemption exempts personal property consisting of inventory goods or ores, other than oil, natural gas and petroleum. Eligible property must be transported out of the state within 175 days of acquisition but may first be assembled, stored, manufactured, processed or fabricated locally.
Public Improvement Districts
A Public Improvement District (“PID”) enables a commercial area to make improvements benefiting the area and spread the cost equally among all properties. The City can levy and collect special assessments on property owners within the PID. These assessments may be used to pay the debt service on bonds or they may be used to pay for services directly if no bonds are issued. PID funds may be used to purchase real property in connection with improvements. Improvements include a wide variety of enhancements such as water and wastewater, streets, drainage, parking, landscaping, etc.
Tax Increment Reinvestment Zone
Developers of business property within a defined area (i.e. business parks, service centers) may receive municipal financing assistance through the use of tax increment financing. The City Commission may create a Tax Increment Reinvestment Zone (TIRZ) where construction of public improvements using tax increment funds is likely to result in significant commercial investment. The cost of improvements within the zone is repaid by the contribution of future tax revenues by each taxing unit that levies taxes on the affected properties. Once the city initiates tax increment financing, counties and school districts may also participate in the tax increment financing program.
402 Morton Street Richmond, Texas 77469 281-342-5456-direct 832-535-4983-cell vwww.richmondtx.gov
Copyright 2016 - Richmond Economic Development Corporation