Economic Development Incentives
The City of Edinburg (City) and the Edinburg Economic Development Corporation (EDC) are authorized by state and local statutes to offer incentives for economic development. Incentives are considered on a case-by-case basis, and decisions are made according to guiding principles outlined below. Please review them carefully before submitting an application.
- Incentives should result in the creation or retention of high-quality jobs that pay a living wage of $15.00 per hour and provide benefits to full-time employees.
- Incentives are public interventions into private markets and therefore should achieve specific public purposes or benefits, beyond just growing the tax base.
- Incentives are also appropriate to consider when Edinburg is competing with other locations for a primary employer engaged in a competitive site selection process. In that case, incentives should be offered on a “but for” basis, meaning Edinburg would not be competitive without incentives.
- Economic development should be transparent, just like other city business. Proposed incentives will be available for public review before deliberations for approval by governing bodies. Although the Texas Open Meetings Act allows a governing body to deliberate proposed incentives in a closed meeting, approved incentives will be available for public review. Similarly, compliance with the terms of an incentive agreement with the City and/or the EDC will be available for public review.
- In most cases, incentives should be on a reimbursement basis, after performance targets are met according to agreements. In unusual cases where upfront investment of public funds is necessary, agreements will include “clawbacks” if targets are not met.
- A fiscal impact analysis of proposed incentives, showing the benefits, costs, and return on investment to the city, will be completed and posted for public review before agreements are considered for approval by governing bodies.
To be eligible to apply for incentives, a business must meet the following criteria:
- Your project must be located in Edinburg’s city limits or extraterritorial jurisdiction with a voluntary annexation agreement. Please verify here.
- You must submit an application before you start your project.
- Your project must meet at least one of the following criteria:
- Create or retain a minimum of fifteen full-time jobs with benefits that pay $15 or more per hour.
- Add a minimum of $5 million in taxable value to the city’s property tax roll (real and/or personal property).
- Your project cannot be 100% residential. Projects with residential and commercial (or office) components may be considered.
- Applicants must certify that they are equal opportunity employers and agree that they shall not discriminate in hiring and employment because of race, color, national origin, religion, sex, age, disability, or marital status and that they shall comply with all federal, state and local equal opportunity policies and laws to insure non-discrimination.
Application Process
- Review the eligibility criteria and verify your project is eligible to apply. Complete and submit this application the first week of every month to ensure ample time for staff to review. Meet with economic development staff to answer questions and provide any additional data needed.
- Review the project with City Attorney for legal opinion.
- Staff will work with projects that meet eligibility criteria. Staff will provide feedback on projects that do not meet eligibility criteria.
- An objective third-party (currently UTRGV under a technical assistance contract) will complete a fiscal impact analysis of the proposed project.
- Staff will work with projects to develop an incentive agreement.
- Present the proposed project at an EDC board meeting. EDC board meetings are held the last Tuesday of every month. The agenda packet will include the incentive application, agreement, and fiscal impact analysis.
- If approved by the EDC Board, deliver the same presentation at an Edinburg City Council meeting. If approved, execute the agreement, and then work with staff to create a project profile on the City’s Dashboard, where the application, compliance documentation, and payment information will be posted.
Eligible projects can apply here.
| Contact Us: 415 West University Drive. Edinburg, Tx 78541 Call us: (956) 388-8207 Economicdevelopment@cityofedinburg.com |