It is with pleasure that Kaufman, Texas outlines for you the incentives that we would be able to offer for investments related to the development of a business or manufacturing facility with the city of Kaufman and its extra territorial jurisdiction.
Impact Fee Reductions: The City of Kaufman will consider reducing the impact fees on projects with a real estate investment over $10,000,000, based in part on the sales tax return and value of each project.
Tax Abatement: The City of Kaufman, Kaufman County and the Community College District have a Tax Abatement Policy for new construction, equipment and personal property tax for projects that create a minimum of 10 primary jobs with an investment over $1,000,000 for variable rates of abatement. The city has a unique tax abatement program for any type of business locating on the Town Square and the Washington Street corridor. (tax abatement application)
Fast Track Permitting and Inspection Procedures: City of Kaufman staff will provide a fast track, one-stop location for permitting and inspections related to the development.
Type A Sales Tax Incentive Grant: The Kaufman Economic Development Corporation will consider a grant for infrastructure and site improvements; plus gifted land, below market cost for land, grants for buildings, equipment, facilities, expenditures, plus job training for development, expansion and retention of manufacturing and industrial facilities, research and development facilities, transportation facilities, distribution centers, small warehouse facilities, and call centers as authorized by the State Economic Development laws. Low interest loans and forgivable loans are also considered. The Texas Leverage Fund may be utilized to leverage the available funds of the Economic Development Corporation.
Texas Dept. of Agriculture/Rural Municipal Finance Program: Kaufman will assist the development through this loan program from the TDA which allows the Town to borrow up to $1,000,000 for infrastructure, buildings, equipment, machinery, and working capital. Lease terms are negotiable and depend on the interest rate and term required by the end user, developer, or applicable project activities and the level of investment by the developer or end user.
Texas Dept. of Agriculture/ Texas Capital Fund for Infrastructure or Real Estate: Kaufman is qualified to apply on behalf of the developer or end user for funding up to $750,000 for infrastructure or real estate development. Applications are competitive and received quarterly. The minimum job creation requirement is 30 jobs. The infrastructure development is a grant and real estate development is a lease for 20 years. Terms of the lease are negotiable.
Texas Enterprise Fund: The City of Kaufman and Kaufman Economic Development Corporation will assist in obtaining a Texas Enterprise Fund Grant for the purpose of securing a significant new business or significant expansion of an existing business as part of a competitive recruitment situation.
Tax Increment Financing: Tax Increment Financing is available through the City and the County if a study verifies that the project is the most cost effective method for infrastructure development. The city may request the developer to furnish a financial feasibility study including development costs.
Waiving of the Agricultural Exemption Taxes Owed: The city will consider, as part of the total incentive package, the waiving of past due agricultural exemption taxes owed.
Freeport Tax Exemption: The Kaufman Economic Development Corporation will assist in your application for Freeport inventory exemption with Kaufman County.
The above list serves as a general guideline for use in considering an investment. Kaufman, Texas is interested in attracting and expanding quality projects and will be very competitive. We offer to provide a detailed incentive proposal for potential projects, following a formal meeting with the developers and end users.
Click here for Incentive Application.