Three Decades of Growth and Prosperity
The Impact of Projects Facilitated by the Texas Sales Tax for Economic Development
Published on August 13, 2020
Texas has been one of the strongest performing states in the US for a number of years, attracting more major corporate locations and expansions than any other and regularly topping lists of the best places to do business. As examples, the state has won the "Governor's Cup" for the most major projects for the past eight consecutive years and was recently named the "State of the Decade" by Site Selection magazine.
For 30 years, the local-option sales tax for economic development has been crucial to the success of the state. The more than 700 economic development corporations (EDCs) across the state utilize these funds for a variety of purposes which enhance growth patterns and have generated substantial increases in business activity and jobs. It represents by far the largest single source of resources allowing Texas to compete with other states and areas around the globe for economic activity. Over 20% of the net new jobs generated in Texas over the past 30 years have involved efforts funded by the economic development sales tax.
The Perryman Group was recently asked to (1) provide a perspective on the importance of proactive economic development and (2) estimate the economic benefits of projects facilitated by the sales tax for economic development.
For more details please refer to the full report.
- Tags: economic development, manufacturing, sales tax, Texas