Texas Capital Access Fund
The Texas Capital Access Fund was established to increase the availability of financing for businesses and nonprofit organizations that face barriers in accessing capital . Through the use of the Capital Access Fund, businesses that might otherwise fall outside the guidelines of conventional lending may still have the opportunity to receive financing.

Texas Manufacturing Assistance Center
The Texas Manufacturing Assistance Center (TMAC) works for all Texans by enabling small  manufacturers to better compete in the international marketplace. 

SBA Loans -- Texas Offices
Lubbock
Dallas/Fort Worth
Houston
Harlingen
El Paso
San Antonio

Texas Enterprise Zone Program
Businesses located in an enterprise zone may be eligible for local and/or state benefits. A business must be nominated by the governing body that  created the zone and be designated by TDED as an enterprise project. The business must be active in the zone and at least 25% of the new  positions must be occupied by persons that are residents of any zone within the governing  body's jurisdiction and/or economically disadvantaged. Enterprise projects are eligible for a refund of state sales or use taxes paid on machinery and equipment, building materials, labor for the rehabilitation of existing buildings, and electricity and natural gas purchased for use in the enterprise zone. The refund is based on  $2,000 for each permanent job the project creates or retains during the five-year designation  period.  

Strategic Investment Zones/Francise Tax Credits
The 76^th Texas Legislature passed SB441; establishing franchise tax credits for job creation and capital investments. The franchise tax is imposed on each corporation chartered in Texas or has a Certificate of Authority to do business in Texas. Non-Texas corporations doing business in Texas without a Certificate of Authority are also liable for Texas franchise tax. Corporations who operate in strategic investment areas may qualify for special benefits. The Texas Comptroller designated Galveston, Hardin, Jasper, Jefferson, Liberty, Newton, Orange, and Tyler counties as a Strategic Investment areas on September 28. Three specific credits are available (cannot exceed 100% of franchise tax liability and new credits are not allowed after December 31, 2009):

• Research and Development -- 4% of qualified expenses on a report before Janaury 1, 2002. Changes to 5% for reports after January 2, 2002. The credit applies to excess of qualified research expenses in Texas over a base year, plus basic research payments in Texas. May not be combined with the Job Creation credit and may not exceed 25% of franchise tax due for reports before Jan. 1, 2002 and not be more than 50% of tax due for reports after January 1. 2002 Can be carried forward 20 years.
• Job Creation -- 25% of wages paid for new qualifying jobs created in strategic investments areas credit must be claimed in equal installments over 5 years. Qualifying jobs are in central administraive offices, distribution, data processing, manufacturing, research and development or warehousing. (Cannot exceeed 50% of franchise tax due before credits -- must be at least 10 new full-time jobs created; must pay 110 % of the county average weekly wage and include health insurance. Cannot be combined with R&D credit.)
• Capital Investment-- 7.5% of qualified investment made in a Strategic Investment Area. Credit must be claimed in equal installments over 5 years. Applies to investments in depreciable tanglible personal property in central administration offices, distribution, data processing, manufacturing, research and development or warehousing. A minimum investment of $500,000 is required; jobs at the location of the investment must pay 110 percent of the county average weekly wage and include health insurance.

School District Economic Development Provided by HB 1200, 77th Texas Legislature, 2001

Information about Tax Code Chapter 313, Texas Economic Development Act, for school districts - Updated July 2004

http://www.window.state.tx.us/taxinfo/taxpubs/tx96_686.html

Tax Increment Financing
Local governments employ a number of tools to spur redevelopment and economic development within their communities. Tax increment financing (TIF) is among the most widely used of these tools. Local governments use TIFs, which are property tax incentives, to publicly finance needed structural improvements and enhance infrastructure within a defined area. These improvements are generally undertaken to promote the viability of existing businesses and to attract new commercial enterprises to an area considered to need redevelopment.

The cost of improvements to a designated area is repaid through the contribution of future property tax revenues by each taxing unit that levies taxes against the property. The additional tax revenue received from the affected properties is referred to as the tax increment. Link to Comptroller's report on Tax Increment Financing

Welfare to work
Substantial tax credits and benefits are available  to companies that hire persons off the welfare rolls.

Texas Linked Deposit Program
The State of Texas Historically Underutilized Business and Small Business Linked Deposit Program (“Linked Deposit Program”) was established to encourage lending to historically underutilized businesses and/or small businesses located in distressedcommunities by providing lenders and borrowers a lower cost of capital.

Economic Development Administration
EDA works in partnership with state and local governments, regional economic development districts, public and private nonprofit organizations, and Indian tribes to empower communities to plan and implement locally andregionally-developed economic development and revitalization strategies.

USDA
The USDA financial programs support such essential public facilities and services as water and sewer systems, housing, health clinics, emergency service facilities and electric and telephone service. The USDA promotes economic development by supporting loans to businesses through banks and community-managed lending pools. The USDA offers technical assistance and information to help agricultural and other cooperatives get started and improve the effectiveness of their member services. And the USDA provides technical assistance to help communities undertake community empowerment programs. David Gonzalez
USDA Rural Development State Office of Texas
Rural Development Federal Building Suite 102
101 South Main
Temple, TX 76501
Office phone: 817-774-1301
Direct phone: (956)487-5576
Fax: 817-774-1435