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The City of La Porte offers numerous incentives for businesses who are considering locating in La Porte. To learn more, please contact the Economic Development Coordinator at (281) 470-5016.
The City of La Porte offers ad valorem tax abatements for new construction of the following qualifying facilities within the City’s corporate limits:
- Regional Distribution/Service (up to 10%)
- Manufacturing/Other Basic Industry (up to 10%)
- Retail/Commercial Office/Regional Entertainment (up to 50%)
To be eligible to apply for an abatement, a company must meet the following criteria:
Industrial District Agreements
To attract a business into an area, a city may choose to encourage the business to locate in the city’s Extraterritorial Jurisdiction (“ETJ”). If the business locates in the city’s ETJ, the City Council may enter into an agreement not to annex the business property for a set period of time. The agreement may call for the business to pay the city an annual fee in lieu of taxes for the use of city facilities. The city may also provide certain contractual services (i.e. firefighting services) to the business during the non-annexation period. Click here for additional information about the city's industrial districts.
Tax Increment Reinvestment Zone
Developers of business property within a defined area (i.e. business parks, service centers) may receive municipal financing assistance through the use of tax increment financing. The City Council may create a Tax Increment Reinvestment Zone (TIRZ) where construction of public improvements using tax increment funds is likely to result in significant commercial investment. The cost of improvements within the zone is repaid by the contribution of future tax revenues by each taxing unit that levies taxes on the affected properties. Once the city initiates tax increment financing, counties and school districts may also participate in the tax increment financing program.
Public Improvement Districts
A Public Improvement District (“PID”) enables a commercial area to make improvements benefiting the area and spread the cost equally among all properties. Property owners are assessed based on benefit. These assessments may be used to pay the debt service on bonds or they may be used to pay for services directly if no bonds are issued. PID funds may be used to purchase real property in connection with improvements. Improvements include a wide variety of enhancements such as water and wastewater, streets, drainage, parking, landscaping, etc.
Foreign Trade Zone
The City of La Porte supports companies applying for this federal exemption from state and local ad valorem taxes on tangible personal property imported from outside the United States, and held in a Foreign Trade Zone (FTZ) for the purpose of storage, sale, exhibition, repackaging, assembly, distribution, sorting, grading, cleaning, mixing, display, manufacturing or processing and tangible personal property produced in the United States. Property must be held in a Foreign Trade Zone for exportation, either in its original form or as altered by any of the above processes. This program is managed by the Port of Houston Authority.
Freeport Exemption (La Porte ISD)
The Freeport Exemption exempts personal property consisting of inventory goods or ores, other than oil, natural gas and petroleum. Eligible property must be transported out of the state within 175 days of acquisition but may first be assembled, stored, manufactured, processed or fabricated locally. Currently, Freeport Exemptions are offered by the LPISD.
Municipal Grants – Chapter 380
The City Council of the City of La Porte may provide loans and grants of city funds as well as city employees and equipment to promote economic development projects within the city. Eligible projects involving significant investment may contract with the City to receive sales tax grants, franchise fee grants, water or sewer line extensions, building permit fee waivers and grants for capital recovery fees.
CITY OF LA PORTEMailing Address:
604 West Fairmont Pkwy.
La Porte, TX 77571Scott Livingston, Economic Development Coordinator
emailTraci Leach, Assistant City Manager