Learn about the Texas Economic Development Act, which encourages the development of capital projects in school districts under Chapter 313 of the Tax Code.  Companies may apply to school districts for property value limitations to reduce school district M&O taxes as inducements for these projects.  The reduction in local M&O taxes is chiefly offset through state funding formulas or payments from companies, as needed. 

More than 400 Ch. 313 agreements have been approved by school districts since 2002.  The session will address the financial benefits to school districts under this program, as well as the procedural issues in approving a Ch. 313 agreement.  Changes under HB 3 have also affected the program.